Caraga Regional Development Plan 2011-2016

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Caraga Region REGIONAL DEVELOPMENT PLAN 2011-2016

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Philippine Copyright @ 2011 by the National Economic and Development Authority (NEDA) Caraga Region

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Message I commend the NEDA Regional Development Councils and all stakeholders in the 17 regions for coming together to formulate your respective Regional Development Plans. May this partnership among regional and local institutions, the private sector, and civil society ensure the continued success of these programs and the distribution of their benefits throughout the country.

Along with the Philippine Development Plan, the RDPs will guide our development efforts in the next five years, and will act as a common roadmap for our country’s development and for the establishment of the necessary infrastructure that will help us achieve our goal of increasing economic and social opportunities for our people.

Guided by our commitment to the UN Millennium Development Goals, our concerted efforts will not only help accelerate economic growth, but will also give our provinces improved access to quality education, health, and social services.

We came to government with a mandate to eradicate poverty and create a better future for our nation. As we carry out key reforms in the bureaucracy, we also strive to set in place an environment of sustainable and equitable progress in the coming years. Together, let us fulfill the potential of our great nation.

BENIGNO S. AQUINO III President Republic of the Philippines

MANILA May 2011

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Message The Regional Development Plans (RDPs) represent the aspirations of Filipinos in different areas of the country. As accompanying documents of the Philippine Development Plan (PDP) 2011-2016, the RDPs also provide the spatial dimension to the national plan by identifying the regions’ contributions to our goal of a high, sustained and broad-based growth. This “inclusive growth” involves rapid economic expansion that must reach population groups throughout the country through the provision of productive employment opportunities, thereby reducing poverty.

The attainment of our goals requires massive investments in infrastructure, social services and other productive activities.

The PDP, along with the RDPs are the key instruments that will guide the proper and equitable allocation of resources to ensure improvements in the welfare of our people. Likewise, our plans shall direct our efforts in protecting the environment, reducing climate and disaster risks, promoting good governance and ensuring peace and stability.

The RDPs provide the framework for local development. We thus enjoin the local government units to align their local plans and programs with the RDPs. We likewise seek the support of regional institutions and the private institutions in the realization of the plans which many of them have helped prepare. We need to strengthen our multistakeholder cooperation particularly as we promote public-private partnership to improve the provision of services for our people.

I thank the Regional Development Councils (RDCs) for spearheading the preparation of the RDPs and we count on their continued leadership in coordinating development efforts in the regions.

CAYETANO W. PADERANGA, JR. Secretary of Socioeconomic Planning and NEDA Director-General

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Foreword Caraga strives on to become the Fishery, Agri-forestry, Mineral and Eco-tourism (FAME) Center of the Philippines by developing the region’s abundant resources in fishery, agriculture, forestry, mining, and eco-tourism. Improved productivity in these sectors is the key strategy to propel Caraga towards economic advancement.

In the past six years, these sectors were the engines of growth of the economy. However, despite the employment and GRDP increase that these sectors have generated, the region still lagged behind all regions in poverty reduction, among others.

For Caraga to realize its vision, the Regional Development Plan 2011-2016 was crafted to define the strategies, the players, and their roles. Every Caraganon must play her/his part in ensuring that the strategies identified in the development plan are carried out.

The regional line agencies must implement the strategies through their respective programs and projects. This shall be strengthened through civil society participation in monitoring the achievement of the targets and keeping an eye on the impact of the programs and projects implemented.

The local government units should build up on their major industries, work on their local competitive advantages, and make certain that local government spending is aligned with the development targets of the plan.

The private sector and the civil society organizations are encouraged to partner with government in public investments and do their part conscientiously as guardians of the public good.

With all of us in a concerted effort aiming for development, we can go a long way in providing a better life for all Caraganons.

We commend the members of the Regional Development Council for taking the lead in crafting the RDP, which is our blueprint towards attaining our goal of becoming the country’s FAME Center.

We are still a long way to our goals, but with the help of the Almighty and with the convergence efforts of all Caraganons, we shall achieve our vision.

Forward Caraga!

GOV. SOL F. MATUGAS RDC Chairperson

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Preface The Caraga Regional Development Plan 2011-2016 is our mechanism for steering all stakeholders toward the goal of improving people’s lives and alleviating poverty in the region.

This will be done by underscoring the importance of governance and strengthening the region’s economic development efforts by taking full advantage of its fishery, agri-forestry, mining, and eco-tourism (FAME). Caraga needs to refocus its efforts on these sectors for the region to become the country’s FAME Center.

The Caraga RDP 2011-2016, the blueprint to economic development in the next six years, underscores the importance of reinforcing and further building on our key sectors. Standing firm amidst the distressing effects of the global financial crisis, our mining and quarrying subsectors sustained an annual average growth of 53.39 percent in the last three years.

The industry sector is expected to continue to propel the growth of Caraga at an annual average target of 25 percent.

Although the agriculture, fishery, and forestry (AFF) sector continuously missed its year on year targets by an average of 7.39 percent, the refocused strategies in the plan will facilitate positive growth in these sectors. Private investment and entrepreneurship shall be promoted in agro-forestry and fishery through the development of vast undeveloped potential in the agro-forestry and fishery areas and by stepping up of incentives to interested investors. Tourism, which is the region’s major employment generator, shall be further strengthened by developing the region’s eco-tourism potentials and accompanying infrastructure.

Cognizant of the region’s status as the second poorest region in the country from 2004-2009, we will strengthen efforts to attain economic development as we focus on achieving our vision through appropriate management and development of our major sectors - the fishery, agri-forestry, mining and ecotourism. With the Caraga RDP 2011-2016, everyone shall be engaged in the growth process and shall draw from the benefits from the region’s economic development.

My earnest gratitude to our partner agencies, local government units, private sector, non-government organizations, academe, and civil society organizations for willingly sharing their knowledge and expertise during the consultations, as well as to the members of the Regional Development Council who spearheaded the crafting and approval of the RDP 2011-2016.

CARMENCITA S. COCHINGCO Regional Director, NEDA Caraga

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TABLE OF

CONTENTS Message Message

Chapter 1

Foreword Preface

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List of Tables List of Figures List of Maps

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List of Acronyms RDC Resolution approving & adopting the Caraga RDP 2011-2016 Executive Summary

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Vision and Goal Statements §Vision Statement § Goal § Spatial Development Framework

Chapter 2

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Chapter 3

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Chapter 4

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Macroeconomic Management I. Assessment and Challenges • GRDP Performance • Labor and Employment • Price and Inflation • Population • Poverty II. Strategic Framework • GRDP Target, Policies and Strategies • Poverty Reduction Competitive Industry and Services Sector I. Assessment and Challenges • Industry • Services • Information and Communication Technology II. Strategic Framework • Industry Target, Strategies and Policies • Services Target, Strategies and Policies • Information and Communication Target, Strategies & Policies Competitive and Sustainable Agriculture and Fisheries Sector I. Assessment and Challenges • Food Security

1 1 2 4 4 6 9 10 11 12 13 14 15 16 16 16 18 22 23 23 25 27 28 28 28

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TABLE OF

CONTENTS

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Chapter 5

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Chapter 6

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• Rural Development II. Strategic Framework • Food Security Target, Strategies and Policies • Rural Development Infrastructure Support I. Assessment and Challenges • Transport Infrastructure • Digital Infrastructure • Power and Electrification • Water Resources • Social Infrastructure II. Strategic Framework • Transport Infrastructure Target, Strategies and Policies • Digital Infrastructure Target, Strategies and Policies • Power & Electrification Target, Strategies and Policies • Water Resources Target, Strategies and Policies • Social Infrastructure Target, Strategies and Policies Good Governance I. Assessment and Challenges • Regional Government Machinery • Regional Development Financing • Local Finance • Local Legislation • Local Development Planning • E-Government • Civil Service & Public Accountability & Moral Recovery • Electoral Reform • Administration of Justice II. Strategic Framework • Regional Government Machinery Target and Strategies • Regional Development Financing Target and Strategies • Local Finance Target and Strategies • Local Legislation Target and Strategies • Local Development Planning Target and Strategies • E-Government Target and Strategies • Civil Service and Public Accountability and Moral Recovery Target and Strategies

31 33 33 38 42 42 43 47 49 52 55 59 59 63 63 64 65 69 69 70 71 73 74 75 76 76 77 77 78 78 79 80 82 83 84 85

TABLE OF

CONTENTS Chapter 7

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Chapter 8

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Chapter 9

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• Electoral Reform Target and Strategies • Administration of Justice Target and Strategies Social Development I. Assessment and Challenges • Education • Cultural Communities and Vulnerable Sectors • Health and Nutrition • Shelter • Social Security and other Social Services / Safety Nets II. Strategic Framework • Education Target, Strategies and Policies • Cultural Communities and Vulnerable Sectors Target, Strategies and Policies • Health and Nutrition Target, Strategies and Policies • Shelter Target, Strategies and Policies • Social Security and other Social Services/Safety Nets Target, Strategies and Policies Peace and Security I. Assessment and Challenges II. Strategic Framework Environment and Natural Resources Management I. Assessment and Challenges • Environment • Land Resources • Forestry and Watershed • Coastal and Marine resources • Water Resources • Mining II. Strategic Framework • Environment Target, Strategies and Policies • Land Resources Target, Strategies and Policies • Hazard Target, Strategies and Policies • Forestry Target, Strategies and Policies • Watershed Target, Strategies and Policies • Coastal & Marine Resources Target, Strategies and Policies • Water Resources Target, Strategies and Policies • Mining Target, Strategies and Policies

86 86 89 89 89 97 100 105 108 111 111 115 117 121 122 123 123 127 131 131 132 133 138 143 144 145 146 146 147 148 149 150 152 153 154

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LIST OF

TABLES Table No. Table 2.1 Table 2.2

Table 2.3

Table 2.4 Table 2.5 Table 2.6 Table 2.7 Table 2.8 Table 2.9 Table 2.10 Table 2.11 Table 2.12 Table 3.1 Table 3.2 Table 3.3 Table 3.4 Table 3.5 Table 4.1 Table 4.2 Table 4.3 Table 4.4 Table 4.5 Table 4.6 Table 5.1 Table 5.2 Table 5.3 Table 5.4 Table 5.5 Table 5.6 Table 5.7 Table 5.8 Table 5.9 Table 5.10 Table 5.11 Table 5.12

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Title Expenditures on GRDP, 2004-2009 Percentage Share to Philippine GDP and Mindanao GRDP, Caraga and other Mindanao Regions, 2004-2009 Labor Force, Labor Force Participation Rate, Employment Rate, Underemployment Rate, 2004-2009 Employed persons by Major Industry and Labor Productivity, 2003 and 2008 Inflation and Consumer Price Index, 2004-2009 Land Area, Population Density, and Annual Average Growth Rate, 2000 and 2007 Poverty Incidence of Poor Families, 2003 & 2006 Annual Per Capita Poverty Threshold, Poverty Incidence Among Families, Caraga Region, 2003-2009 GRDP Growth Targets, 2010-2016 Projected Population by Five Calendar Year 2010, 2015 and 2020 Population Growth by Province, 2010-2015, and 2015-2020 (in %) Poverty Incidence Targets, 2006-2016 (in %) Production of Manufactured Forest Products, 2006-2009 Business Name Registration by Province, 2004-2009 Investments by Province, 2004-2009 Tourist Arrivals by Province/City, 2007-2009 Total Number of Rooms and Occupancy Rates

By Province/City, 2007-2008 Rice Production by Province, 2004-2009 Area Harvested and Average Yield of Rice, 2004-2009 Production of Major Crops, 2004-2009 Fishery Production by Province, 2004-2009 Livestock and Poultry Production, 2004-2009 Production Target for Palay, 2011-2016 Road Density and Road Length by Province, CY 2009 Inventory of National Bridges by Province, CY 2009 Updated Carrier Flight Schedule, 2010 Status of Irrigation Development, as of December 2009 List of SPISPs Projected Hospital Bed Requirements List of Disposal Facilities Project Land Requirements for Sanitary Land Fill List of Roads List of Bridges List of Air Transport Development Program and Project List of Water Transport Development Facilities

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9 10 10 11 12 12 14 14 14 15 18 18 19 20 22 28 29 29 30 30 34 44 45 46 53 54 56 56 57 61 63 66 67

LIST OF

TABLES Table No. Table 6.1 Table 6.2 Table 6.3 Table 7.1 Table 7.2 Table 7.3 Table 7.4 Table 7.5 Table 7.6 Table 7.7 Table 7.8 Table 7.9 Table 7.10 Table 7.11 Table 7.12 Table 7.13 Table 7.14 Table 7.15 Table 8.1 Table 8.2 Table 9.1 Table 9.2 Table 9.3 Table 9.4

Title Tax Collection, 2008-2009 Tax Collection by District, 2008-2009 IRA National Average Early Childhood Education by Gender, 2008-2009 and 2009-2010 Number of Children in Need of Special Protection, 2004-2009 Leading Causes of Infant Mortality, 2002-2006, 2007-2008 Health Facilities, 2004-2007 Health to Population ratio, 2009 Number of Botika ng Barangay, 2003-2010 Contraceptive Prevalence Rate, 2009 Percent of Household with Access to Improved Safe Water Supply and Complete Basic Sanitary Facilities Nutritional Status of Pre-School, Elementary and Secondary Informal Settlers and Population Living in Makeshift Housing, 2006 Housing Demand and Annual Need per Identified Cities and municipalities Philihealth Registration, 2006-2009 Philihealth Beneficiaries, 2006-2009 Land Tenure Improvement Status, 2006-2009 Daily Minimum Wage Rates, 2008 & 2010 Crime Volume and Crime Solution Efficiency, 2004-2008 Kalayaan Barangay Program Completed Projects Land Area Per Land Use Places High and Moderately Susceptible to Landslides Tenured Production Forest by Province Key Biodiversity Areas of Eastern Mindanao

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LIST OF

FIGURES Figure No. Figure 2.1 Figure 2.2 Figure 2.3 Figure 3.1 Figure 5.1 Figure 5.2 Figure 5. 3 Figure 5.4 Figure 6.1 Figure 6.2 Figure 6.3 Figure 6.4 Figure 6.5 Figure 6.6 Figure 6.7 Figure 7.1 Figure 7.2 Figure 7.3 Figure 7.4 Figure 7.5 Figure 7.6 Figure 7.7 Figure 7.8 Figure 7.9 Figure 7.10 Figure 7.11 Figure 7.12 Figure 7.13 Figure 7.14 Figure 7.15 Figure 7.16 Figure 7.17 Figure 9.1 Figure 9.2 Figure 9.3 Figure 9.4 Figure 9.5 Figure 9.6 Figure 9.7

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Title Sectoral Share to GRDP, 2004-2009 GRDP Growth Rate, 2004-2009 Population by Age Group and Sex, 2007 MPSA by Province, March 2009 Number of Cell Sites by LGUs, 2004 and 2008 Power Mix, Mindanao Power Grid Annual Power Demand, 2004-2008 Households with Access to Safe Water Supply, 2009 Percentage of Actual Budget Disbursed to Proposed Budget Cash Revenue Collection, 2004-2009 LGU Percentage IRA vs Local Revenue, 2004-2009 LGU Income vs Expenditure LGU Spending per Function, 2004-2008 Performance Index on Administrative Governance Status of Websites in LGUs Day Care Centers and Pre-school Classes, 2008-2009 and 2009-2010 Elementary and Secondary Participation Rate 2009-2010 Elementary Cohort Survival Rate, 2003-2004 to 2009-2010 Elementary Completion Rate, 2003-2004 to 2009-2010 Secondary Cohort Survival Rate, 2003-2004 to 2009-2010 Secondary Completion Rate, 2003-2004 to 2009-2010 Elementary and Secondary Drop Out Rates, 2003-2004 to 2009-2010 TVET Program, 2004-2009 HEIs, Public and Private, 2009-2010 Enrolment for AY 2009-2010 Percentage Distribution of Tertiary Students, 2009-2010 Enrolment by Major Discipline by Percentage, 2009-2010 Percentage Distribution of Youth and Income Status of Family, Lowest, 2002 Infant Under Five and Maternal Mortality Rate, 2004-2009 Birth Delivery by Place vs Attendance, 2004-2009 Prevalence of Malnourished/Underweight Children Amount of Housing Loans and Take Outs, 2005-2009 Percent Distribution of Land Area Percent Distribution of Natural Calamities Agricultural Areas by Crops Forest Cover Growth Rate by Tenurial Instrument Log Production by Tenurial Instrument Fish Production, 2004 - 2009

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LIST OF

MAPS Map No.

Description

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2.1.

3.1.

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DRR-Enhanced Spatial Development Framework Administrative Map of Caraga Region Tourism Destinations Map of Caraga Region Infrastructure Support Map of Caraga Region Land Use Conflict Map of Caraga Region Multi-Hazards Map of Caraga Region

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ACRONYMS 4Ps ADSDPP AFF AFMA AFP AHMP AIP ALCADEV ALIVE ALS ANECO APHC APPES APSA ARCDP ARISP ARMM ARTA ASELCO ASIN AY BCPC BDC BDJB BDP BEC BEMOC BESRA BFAR BHS BnB BOC BOT BPAP BPAT BPO BSP CAA CADC CADT CARP CBFMA CBMS CBP CCA CCPD CDI CDP CeC CHED CHRDC CICL

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Pantawid Pamilyang Pilipino Program Ancestral Domains Sustainable Development and Protection Plan Agriculture, Fishery, and Forestry Agricultural Fisheries Modernization Act Armed Forces of the Philippines Anti-Hunger Mitigation Plan Annual Investment Plan Alternative Center for Agriculture and Livelihood /Development Arabic Language and Islamic Values Education Alternative Learning System Agusan del Norte Electric Cooperative Agus-Pulangi Hydroelectric Complex Accreditation Program for Public Elementary School Application for Production Sharing Agreement Agrarian Reform Communities Development Project Agrarian Reform Infrastructure Support Project Autonomous Region of Muslim Mindanao Anti-Red Tape Act Agusan del Sur Electric Cooperative Act for Salt Iodinization Nationwide Academic Year Barangay Council for the Protection of Children Barangay Development Council Blue-Desk Job Bridging Barangay Development Program Basic Education Cycle Basic Emergency Maternal and Obstetric Care Basic Education Sector Reform Agenda Bureau of Fisheries and Aquatic Resources Barangay Health Station Botika ng Barangay Bureau of Customs Board of Transportation Business Processing Association of the Philippines Barangay Peacekeeping Action Team Business Process Outsourcing Bangko Sentral ng Pilipinas conflict-affected areas Certificate of Ancestral Domains Claim Certificate of Ancestral Domain Title Comprehensive Agrarian Reform Program Community-Based Forest Management Agreement Community-based Monitoring System Capacity Building Program Climate Change Adaptation Caraga Conference for Peace and Development Child Development Index Caraga Development Program Community e-Center Commission on Higher Education Caraga Health Research and Development Consortium Children in conflict with the law

ACRONYMS CICT CIDA-PCW CIDP CIS CLOA CLUP CMTS CNS/ATM CNSP COA COC COLA COSERAM CPSA CSC CSDC CSO CSU DA-RFU DCC DENR DepEd DFA DIELCO DMWR DND DOE DOH NCPAM DOLE DOST DOT DRR-CCA DRRMO DSL DSWD DTI ECARP ECC ECCD ECE EFA EIS ELA EMB EMBC EP EPIRA ETEEAP FAME FARMC FBLP

Commission on Information and Communications Technology Canadian International Development Agency-Philippine Commission on Women Comprehensive Integrated Development Program Communal Irrigation System Certificate of Land Ownership Award Comprehensive Land Use Program Cellular Mobile Telecommunications Service Communication, Navigation, Surveillance /Air Traffic Management Children in Need of Special Protection Commission on Audit Certificate of Competency Cost of Living Allowance Conflict Sensitive Resource and Asset Management Co-Production Sharing Agreement Civil Service Commission Casilayan Softwood Development Corporation Civil Society Organization Caraga State University Department of Agriculture-Regional Field Unit Day Care Center Department of Environment and Natural Resources Department of Education Department of Foreign Affairs Dinagat Islands Electric Cooperative Daily Minimum Wage Rate Department of National Defense Department of Energy Department of Health National Center for Pharmaceutical Access and Management Department of Labor and Employment Department of Science and Technology Department of Tourism Disaster Risk Reduction-climate change adaptation Disaster Risk Reduction Management Office Digital subscriber line Department of Social Welfare and Development Department of Trade and Industry Every Child A Reader Program Environmental Compliance Certificate Early Childhood Care and Development Early Childhood Education Education for All Environmental Impact Statement Executive and Legislative Agenda Environmental Management Bureau Eastern Mindanao Biodiversity Corridor Exploration Permit Electric Power Industry Reform Act Expanded Tertiary Education Equivalency and Accreditation Program Fishery, Agro-forestry, Mining, and Ecotourism Fishery and Agricultural Resource Management Council Family Basic Literacy Program

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ACRONYMS FIDA FLA FMIS FP FPIC FTAA GAA GAD GADCC GASTPE GDC GDP G-EPS GER GFC GIS GOCC GRDP GVA HDMF HEDF HEI HIGC HLURB HRMIS ICAO ICT IFMA ILHZ IMR IPEP IPRA IP IRA ISP IT IWRM KALAHI KBA KBP LACE LADP-IC LBP LDRRMO LEC LGPMS LGU LSP LTF LTS LUC LWUA

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Fiber Industry Development Authority Fishpond Leasehold Agreement Financial Management Information System Family Planning Free Prior Informed Consent Financial and Technical Assistance Agreement General Appropriations Act Gender and Development Gender and Development Coordinating Committee Government Assistance of Students Teacher in Private Education German Development Corporation Gross Domestic Product Government Electronic Procurement System Gross Enrolment Ratio Global Financial Crisis Geographical Information System Government-Owned and Controlled Corporation Gross Regional Domestic Product Gross Value Added Housing Development and Mutual Fund Higher Education Development Fund Higher Education Institution Home Insurance Guaranty Corporation Housing Land Use Regulatory Board Human Resource Management Information System International Civil Aviation Organization Information and Communications Technology Industrial Forest Management Agreement Inter-Local Health Zones Infant Mortality Rate Indigenous People Education Program Indigenous Peoples Rights Act Indigenous People Internal Revenue Allotment Internet Service Provider Information Technology Integrated Water Resources Management Kapit Bisig Laban sa Kahirapan Key Biodiversity Area Kalayaan Barangay Program Leave Administration Course Effectiveness Lower Agusan Development Project-Irrigation Component Land Bank of the Philippines Local Disaster Risk Reduction and Management Office Local Exchange Carriers Local Government Performance Management System Local Government Unit Local Scholarship Program Local Terrorists Front Legislative Tracking System Local University and Colleges Local Water Utilities Administration

ACRONYMS MCT MDGs MFO MGB MinSSAD MLP MNCHN MOOE MPDP MPSA MRDP MRP MSME MT MWRA NAFES NALCO NANIE NAT NBSAP NCIP NDHS NEMA NEPP NERBAC NFCC NGA NGCP NGO NHMFC NHTS NIA NICSP NIPAS NIS NISEZ NLUA NPAAD NPC NRE NSCB NSHSRP NSO NSTP NTC NWC OCD OJT ORS OT OTOP PAMANA

Multipurpose Community Telecenter Millennium Development Goals Major Final Output Mines and Geo-Sciences Bureau Mindanao Sustainable Settlement Area Development Mobile Library Program Maternal Neonatal and Child Health and Nutrition Maintenance and Other Operating Expenses Multi- Purpose Drying Pavement Mineral Production Sharing Agreement Mindanao Rural Development Program Moral Recovery Program Micro, Small and Medium Enterprise metric tons Married Women of Reproductive Age National Agriculture and Fisheries Education System Nasipit Lumber Company Nasipit Agusan Norte Industrial Estate National Achievement Test National Biodiversity Strategy and Action Plan National Commission on Indigenous Peoples National Demographic and Health Survey Northeastern Mindanao Area National English Proficiency Program National Economic Research and Business Assistance Center Non-Food Commercial Crops National Government Agency National Grid Corporation of the Philippines Non-Government Organization National Home Mortgage Financing Corporation National Household Targeting System National Irrigation Administration Non-Intrusive Container System Project National Integrated Protected Area System National Irrigation System Nonoc Island Special Economic Zone National Land Use Act Network of Protected Area for Agricultural Development National Power Corporation New and Renewable Energy National Statistical Coordination Board National Support for Health Sector Reform Project National Statistics Office National Service Training Program National Telecommunications Commission New Wave Cities Office of Civil Defense On-the-Job Training Oresol Special Operation Team One-Town-One-Product Payapa at Masaganang Pamayanan

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ACRONYMS PCEP PCO PDAO PDAF PDI PDIP PDPFP PESFA PHERP PhilGEPS PIA PICOP PLDT PLEPS PLPEM PNP PO POC POEA PPA PPA PPCRV PPP PRC PRI PWD PYAP RATE RATS RBIP RBO RCDG RDC REACH REDAS RFU RGTS RH RHU RIPS RKCG RLAs ROTC RP RPOC RPT RPTIS RROW RSCU RuMEPP RUP

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Peer Counseling and Peer Education Public Calling Office Persons with Disability Affairs Office Priority Development Assistance Fund Province of Dinagat Islands Provincial Development Investment Plan Provincial Development and Physical Framework Plan Private Education Student Financial Assistance Philippine Higher Education Rationalization Program Philippine Government Electronic Procurement System Philippine Information Agency Paper Industries Corporation of the Philippines Philippine Long Distance Telephone Parent’s Literacy/Livelihood Education Program in Schools Provincial/Local Planning and Expenditure Management Philippine National Police People’s Organization Peace and Order Council Philippine Overseas Employment Administration Philippine Ports Authority Program, Project, Activities Parish Pastoral Council for Responsible Voting Public-Private Partnership Professional Regulation Commission PICOP Resources Incorporated Person with Disability Pag-asa Youth Association of the Philippines Run After Tax Evaders Run After the Smugglers Radio-Based Instruction Program Rural-Based Organization Reinforced concrete deck girder Regional Development Council Reaching All Children and Educate with Commitment, Action, Resource AGregation towards Achievement Rapid Emergency Disaster Assessment System Regional Field Unit Regular Graduate Tracer Studies Reproductive Health Rural Health Unit Revenue Integrity Protection Service Regional KALAHI Convergence Group Region Line Agencies Reserve Officer Training Corps Reproductive Program Regional Peace and Order Council Real Property Tax Real Property Tax Information System Road Right-of-Way Regional Statistical Coordination Unit Rural Micro Enterprise Promotion Program Resource Utilization Plan

ACRONYMS SAFDZ SAGIP SALT SBM SCALOG SDMP SELAP SEZ SIARELCO SIP SIS SJPIP SLGPR SME SOT SPED SPISP SPOTS SPUG SRI STEP STEP SUC SUDECOR SURNECO SURSECO I SURSECO II SWM SY TAPCEN TBA TESDA TETCO TFR TLA TransCo TSP TVET TVI TWSP UCRS UHDA UTPRAS VOW VTC WB-IBRD WRDP YP4SC

Strategic Agricultural and Fishery Development Zone Sustained Access and Guarantee Insurance Project Sloping Agricultural Land Technology School-Based Management Systems on Competency Assessment for Local Government Social Development and Management Program Support to Emergency and Livelihood Assistance Program Special Economic Zone Siargao Island Electric Cooperative Social Integration Program Sanggunian Information System Sta. Josefa Pump Irrigation Project State of Local Government Performance Report Small and Medium Enterprise Special Operation Team Special Education Southern Philippine Irrigation System Project Solar Power Technology Support Small Power Utilities Group System on rice intensification Shannelyn Technological and Ecological Park Student Technologists and Entrepreneurship of the Philippines State University and Colleges Surigao Development Corporation Surigao del Norte Electric Cooperative Surigao del Sur I Electric Cooperative Surigao del Sur II Electric Cooperative Solid Waste Management School Year Tubay Agricultural Processing Center Traditional Birth Attendant Technical Education and Skills Development Authority Tandag Electric and Telephone Company Total Fertility Rate Timber License Agreement Transmission Corporation Total Suspended Particulates Technical Vocational Education and Training Technical Vocational Institution Training for Work Scholarship Program Unified Crime Reporting System Urban Housing Development Act Unified TVET Program Registration and Accreditation System Values Orientation Workshop Ventura Timber Corporation World Bank-International Bank for Rural Development Water Resources Development Program Youth Profiling for Starting Career

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EXECUTIVE SUMMARY Working on the vision, “With the blessings of the Almighty, Caraga Region is sustainably developed, culturally responsive, globally competitive, and equitably enjoying peace and fruits of prosperity” the Caraga Regional Development Plan (RDP) for 2011-2016 aims to respond to the growing demand for economic and social progress for Caraganons. The region’s development vision bears the principles of sustainable development. Keeping in mind the provision of resources to the next generations, the plan targets to emphasize on socio-economic concerns while giving due reverence to the environment and recognizing the diverse social and cultural beliefs of every individual. The RDP establishes and strengthens the region’s goal of becoming the center of fishery, agri-foresty, mineral and ecotourism (FAME) in the country by 2016.

To realize its vision, the region must seize a variety of development initiatives in the fields of FAME. The pouring out and sustaining of initiatives for improved productivity of the region’s resources manages the escalation of our Gross Regional Domestic Product (GRDP). Based on data, Caraga shares a very minimal contribution to the Mindanao and Philippines’ output. To combat these, remarkable steps are to be considered to sustain high economic growth that provides productive employment opportunities in line with President Benigno Aquino III’s pronouncement on inclusive growth. Among these are to increase private investments and entrepreneurship especially among MSMEs, develop the fishery and agri-forestry potentials, and promote responsible mining and mineral processing. In support of the agri-industrialization thrust, an adequate supply of forestry and agro-industrial plantation for manufacturing and industrial needs must be sustained as majority of the poor communities depend on these resources. To improve the export industry of the region, Caraga should be open to globally-accepted standards and updated technology and adopt these. Undeniably, the mining sector is a vital cog in the region’s growth, thus the need for supportive policies to enable its continued contribution.

Caraga Region is among the poorest regions in the country. Its level of poverty from 2003 to 2009 was 75 percent more than the national figure. In fact, the 2009 region data was 90 percent more than the national poverty incidence of poor families. The region set sights on reducing its poverty incidence and rise above the infamy of being those at the bottom tread of alleviating poverty. Its target of reducing poverty incidence by 50 percent in the next six years can be realized by properly targeting the system for identifying the poor by means of harmonizing the National Household Target System and the Community-Based Monitoring System and the full implementation of conditional cash transfer program to poor Caragans. Strategies on improving the participation of the private sector in mobilizing their capital towards rural development should be ironed out.

Reducing the incidence of food-poor in the region can be best combated by ensuring food security by increasing productivity and income in the agriculture sector. The review of the SAFDZ may provide a venue for redefining the SAFDZ vis-à-vis current trend and development in the agriculture and fishery sectors.

Also, the strengthening of the different industry clusters especially in hastening the development of vast agricultural lands and the intensification of the agriculture insurance system as a support mechanism for the most vulnerable small farming communities will be pursued. As recent events have shown, disasters such as floods and drought totally devastated agricultural lands that left farmers totally defenseless.

Infrastructure requirements of the region remain large, including those that provide vital links to agriculture, industries, and major tourism areas. The deficiencies are very pronounced in the sub-sectors of energy, transportation, communications, water resources, and social infrastructure facilities. Compared to its neighboring regions, most performance indicators generally show the infrastructure in Caraga to be below standard. In support of government efforts to alleviate poverty, the DOE launched a massive and focused action to increase and accelerate access to electricity services to the region’s un-energized communities. Considering that the remaining un-energized

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barangays were located in remote areas, alternative approaches such as stand-alone renewable energy systems and other rural electrification solutions played an important role in serving remote areas not feasible for line extension.

Donor-funded projects through grants/loans contributed in the achievement of the total electrification target of the region. These grants were aimed at increasing access to electricity, better delivery of electricity services, capacity building for the energy sector, and encouraged participation of the private sector in the rural electrification efforts.

In the transport sector, challenges should be aptly addressed by observing and adopting the formulated strategies and policies on Public-Private Partnership (PPP) implementation in the delivery of road-right-of-way and government financial support for gap funding for transport projects. Much as other sectors are important, social infrastructure need to be strengthened to provide adequate and quality educational, health and solid waste management facilities in the Region. By 2016, Caraga should have constructed 1,000 new classrooms in the nine divisions of Caraga, upgraded the capacities of 33 government hospitals, and 10-year Solid Waste Management Plan for all LGUs. The good governance sector has contributed to the overall attainment of goals of Caraga towards poverty reduction and the FAME center of the country through establishment of significant structures that will facilitate growth.

For the government machinery, a number of regional line agencies were established within the period 20082009. This helped facilitate the delivery of mandated services of these newly-established agencies such as the Department of Foreign Affairs (DFA) and the Professional Regulation Commission (PRC). However, despite these positive occurrences, there remains the challenge of full personnel complementation among the regional line agencies present in the region. On development financing, the region was able to surpass its targets on revenue generation. In the area of local finance, average Internal Revenue Allotment dependency of the region was pegged at 84.06 percent or about 23 percent higher than the national average. The challenge remains on strengthening and diversifying the region’s local sources of income. Local legislation also shows that there is a need to strengthen linkage in the implementation of the executive and legislative agenda to ensure coherence in actual manifestation of written agenda. Local development planning in support to governance had successfully integrated the Disaster Risk Reduction and Climate Change Adaptation Principles in the Provincial Development and Physical Framework Plans.

The strategic framework of the governance sector is anchored on the changes that President Aquino’s Social Contract with the Filipino People seeks to achieve. Transparent and accountable governance, which is foremost in the President’s agenda, seeks to address poor governance, weak institutions, and deficient policies that contribute to uneven playing fields and unequal access to opportunities for the people. In order to sustain the development for reform, an atmosphere of peace, security, and unbiased justice system should be pursued. An environment of peace and working justice should strengthen the confidence of economic actors that would bring about growth.

While the region managed to improve some areas in the social sector, there are still subsectoral gaps that need to be addressed. At the heart of the development efforts is the collective aspiration to uplift the living conditions of the Caraganons, especially the marginalized. Given that basic social services have yet to reach the priority target groups, the challenge lies on improving delivery of services, particularly in education, health and nutrition, shelter and social security and safety nets.

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Chapter 1: Vision and Goal Statements

Vision “With the blessings of the Almighty, Caraga Region is sustainably developed, culturally responsive, globally competitive, and equitably enjoying peace and fruits of prosperity” The vision statement primarily recognizes that the region’s development is under the control of the “Almighty” and that only through His will could Caraganons propel to their desired development.

Caraga’s development vision shall be guided by the principles of sustainable development, giving emphasis on the strategies parallel to the Philippine Agenda (PA) 21, thus the term “sustainably developed”. The development of the region shall not only focus on socio-economic concerns but also on the integrity of the environment to ensure that the next generation will have the resources to address their needs.

“Culturally responsive” gives importance to the region’s cultural diversity – all development efforts shall be sensitive to local social and cultural beliefs. It calls for respect for every individual particularly the indigenous peoples; being a vulnerable group, their aspirations in life should be mainstreamed in every development endeavor.

For Caraga to rise from the bottom rank in the Mindanao economy, the region has to identify strategies that will develop its resources including human resources to become competitive.

The overall vision is inclusive growth characterized by high, sustained and broad-based growth that would contribute in improving the quality of life of all Caraganons. The envisioned development would effect the creation of more decent and productive employment particularly in the rural areas. It entails addressing unproductive fiscal policy to enhance competitiveness of the agriculture, industry and services. The growth promotes the implementation of effective and responsive programs for human security by investing in education, health, shelter and environment and the provision of appropriate social safety nets to arrest the impact of climate change.

Goal Caraga Region as Fishery, Agro-forestry, Mining, and Ecotourism (FAME) center of the country The region is pushing to become the FAME center of the country by developing the region’s abundant resources, i.e., agriculture, fishery, forestry, mining, and ecotourism. The underlying strategies of development are focused towards economic progress; improved productivity of these resources would translate to improved GRDP (gross regional domestic product).

For the past six years, the agriculture, fishery, and forestry sector and mining subsectors had been observed as growth drivers of Caraga’s economy. These subsectors had been the major employment generators and had employed a significant number of workers since 2004. With regards to the region’s fishery resources, Caraga fishery production in municipal and aquaculture fishing had been at par with other regions in Mindanao.

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In support of the agri-industrialization thrust, an adequate supply of forestry and agro-industrial plantation for manufacturing and industrial needs must be sustained as majority of the poor communities depend on these resources. To improve the export industry of the region, Caraga should be open to globally accepted standards and updated technology and adopt these.

Mining accounted for the highest growth in GVA (gross value added) shares for two consecutive years and still recognized as the major growth driver of the region’s economy for the next six years. Because of its attractive possibilities, two big mineral processing plants are now being constructed in the area and will be operational in the next two years. Undeniably, the sector is a vital cog in the region’s growth, therefore the region should have supportive policies to enable its continued contribution but at the same time preserve the environment.

As elsewhere, tourism has been identified as a major employment generator. The same with Caraga whose relatively unexplored forests, numerous waterways, and historicity can be a big come on for local and foreign visitors and are prospects for robust employment generation. With the implementation of the new Tourism Act of 2009, Caraga expects more vigorous development of this sector in the short term.

The region will strive in achieving the vision through appropriate management and development of the fishery, agriculture, forestry, mining, and ecotourism. Consistent with the thrust of inclusive growth, the participation of marginalized players in the growth process shall be assured through equitable access to economic development opportunities.

Spatial Development Framework In pursuing its vision and goal, the region adopts a polycentric network as a spatial framework for regional development. This spatial framework underscores a strong interaction between urban and rural areas in the region to develop specialized and complementary assets, while avoiding large scale urban sprawl and territorial competition. To support to this strategy, the provinces and cities shall pursue their functional roles as their contribution to the achievement of the vision.

Butuan City

:

Surigao City

:

Bislig City

:

Agusan del Norte

:

Agusan del Sur Surigao del Norte

: :

Surigao del Sur

:

The regional center and the major trading, processing, Commercial and service center of Caraga. Show window of history and culture in Mindanao.

The commercial and trading center in the Pacific Rim of the region. Special zone for mineral- based industries.

The agri-forestry and aquamarine processing center and agri-industrial center.

The agri-processing zone and site of industrial estates and agri-processing centers.

The agri-forest and food processing zone of the region.

The mineral industry, fishery center and major eco-tourism destination of the region.

The agri-industrial zone for agricultural, forestry and fishery products.

Moreover, the spatial framework involves not only the process of deconcentrating functions of urban areas to suburban areas but also developing areas of cooperation and coordination in an institutionalized policy development network to ensure regional competitiveness of assets and investment potentials. The establishment of intra-LGU alliances, institutionalization of different industry clusters, operationalization of special economic zones and putting in place the necessary infrastructure support facilities and utilities such as but not limited to appropriate transport channels and virtual connections using information technology shall be established to connect and link the urban and rural areas.

Embracing this framework also provides greater advantage to the region in reducing various risks brought about by manmade and natural hazards by increasing its system capacity and robustness through geographic, physical and operational separation of facilities and functions or decentralizing services or functions and locating them in strategic and risk-free or safer areas.

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Chapter 1 | Caraga Regional Development Plan, 2011-2016

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Chapter 2: Macro-Economic Management I. ASSESSMENT AND CHALLENGES Overall Assessment (2004-2009) In terms of GRDP level, Caraga remained in 16th place out of the 17 regions from 2004-2009. The region contributed only an average of 1.31 percent to the national output and 7.33 percent to the total Mindanao output.

Among the six regions in Mindanao, it ranked fifth with ARMM at tail end.

The region had an average per capita GRDP of P7, 141, growing annually at an average of 2.86 percent placing it at 14th out of 17 regions from 2004-2008. Still, it slipped a rank lower at 15th place in 2009, exchanging places with the Bicol region.

The economy of Caraga is predominantly agriculture: from 2004-2009, the agriculture, fishery and forestry (AFF) sector comprised an average of 36.14 percent of the annual GRDP. It was followed by the services sector that contributed an average of 35.67 percent, and then by the industry sector with an average of 28.20 percent.

(Figure 2.1)

Figure 2.1. Sectoral Share to GRDP, 2004-2009

Source: NSCB

However, it is alarming that over the years, the AFF sector had been exhibiting a declining trend in terms of share contribution to the GRDP at an average rate of negative 4.14 percent. The same holds true for the services sector that declined at a slower rate, averaging negative 1.16 percent. On the other hand, the industry sector had been steadily rising, increasing its share contribution to GRDP at an average rate of 7.09 percent. (Figure 2.2)

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Chapter 2 | Caraga Regional Development Plan, 2011-2016

Figure 2.2. GRDP Growth Rate, 2004-2009 (In percent)

Source: NSCB

The top five subsectors in terms of its average percentage contribution to the GRDP were agriculture, fishery (32.68 percent), trade (18.78 percent), manufacturing (9.07 percent), mining and quarrying (8.12 percent), and construction (7.67 percent).

The mining and quarrying sector: a whopper In terms of growth, Caraga grew at an annual average of 4.82 percent in 2004-2009. This was propelled mainly by the industry sector that grew at an annual average of 12.33 percent. The growth of the industry sector was substantially lifted by the mining and quarrying sector that grew at a whopping annual average of 53.40 percent.

The AFF sector grew at a dismal annual average of 0.48 percent from 2004-2009. Breaking this down further, the 1.14 percent annual average growth of the AF subsector was worsened by the negative 4.31 annual average growth of the forestry subsector. In the last three years, the AFF sector had been growing negatively at an average of 3.26 percent.

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On the expenditure side, the main growth driver was personal consumption spending which comprised an average of 106.97 percent of GRDP. This indicates that the region was consuming more than it was producing. For the period, it grew at an annual average of 3.39 percent. (Table 2.1) Table 2.1. Expenditures on GRDP, 2004-2009, at constant prices (In Php ‘000) 2004 1. Personal consumption expenditure 2. Gov’t. consumption 3. Capital formation A. Fixed capital 1.Construction 2.Durable equipment 3. Breeding stock & orchard dev’t.

B. Changes in stocks 4. Net exports GRDP

2005

2006

2007

2008

2009

17,256

17,673

18,389

19,137

19,746

20,389

1,577 3,500 3,398 2,230 806

1,608 3,285 3,196 2,094 759

1,722 3,600 3,426 2,243 841

1,810 3,473 3,209 2,496 389

1,807 3,673 3,430 2,711 380

2,008 3,422 3,302 2,684 329

362

343

342

324

339

289

102 -7,339 14,993

89 -6,973 15,593

174 -7,187 16,524

263,434 -6,440 17,980

242,579 -6,759 18,466

119,806 -6,861 18,957

Source: NSCB

Capital formation comprised only an annual average of 19.09 percent. Of these, investments in fixed capital such as construction, durable equipment, and stock and orchard development comprised an average of 19.62 percent. From 2004-2009, it grew at an annual average of negative 0.23 percent.

The region had been running negative net exports from 2004-2009, this indicates that exports were lower than imports.

A. GRDP Performance Minimal contribution to the Philippine and Mindanao output Despite having huge potentials given the abundance of natural resources, the region had been contributing at a minimum to the output of the Philippines and Mindanao. The region has to break away from the bottom of the development ladder and harness its full potentials in order to rise at parr with its neighbors, Regions X and XI. Table 2.2. Percentage Share to Philippine GDP and Mindanao GRDP, Caraga and other Mindanao regions, 2004-2009 2004 Region

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Phl

2005 Min.

Phl

2006 Min.

Phl

2007 Min.

Phl

2008 Min.

Phl

2009 Min.

Phl

Min.

Phl Mindanao

17.82

100.00

17.70

100.00

17.71

100.00

17.70

100.00

17.73

100.00

18.20

100.00

Region 9

2.59

14.54

2.64

14.92

2.56

14.46

2.56

14.49

2.52

14.23

2.67

14.65

Region 10 Region 11 Region 12 Caraga ARMM

4.86

27.26

4.84

27.31

4.92

27.76

4.95

27.94

5.02

28.31

5.11

28.08

4.61

25.88

4.58

25.86

4.54

25.62

4.51

25.49

4.51

25.44

4.70

25.84

3.55

19.93

3.46

19.56

3.51

19.80

3.49

19.73

3.52

19.86

3.53

19.39

1.30 0.91 Source: NSCB

7.29 5.09

1.29 0.90

7.27 5.08

1.30 0.88

7.36 5.00

1.32 0.87

7.43 4.92

1.30 0.85

7.35 4.81

1.32 0.87

7.27 4.76

100

100

100

Chapter 2 | Caraga Regional Development Plan, 2011-2016

100

100

100

Declining performance of the agriculture, fishery, and forestry (AFF) sector The AFF sector had been missing its targets year after year with an average of negative 7.39 percent. The AF subsector failed to meet its target every year at an average of negative 7.20 percent; this is because the level of agribusiness development that was expected was not met. On the other hand, the forestry subsector met its targets in 2004-2006, but failed in 2006-2009.

Given all these, there is a need to refocus efforts as the AFF sector is a crucial part of the region in achieving its FAME goal.

Growing role of the industry sector particularly mining The industry sector exhibited a rising trend in terms of its contribution to GRDP. From its share of only 24.31 percent in 2004, it surpassed the AFF sector in 2009, contributing 33.93 percent share, next to the services sector which had 34.60 percent share. Among all the subsectors, mining and quarrying ranked fourth in terms of share contribution, contributing an average of 8.12 percent. This particular subsector managed to grow at an average of 53.39 percent per year sustaining the region’s economy during the period 2007-2009 and growing at an average of 53.40 percent despite the global financial crisis.

The mining and quarrying subsector overwhelmingly propelled the industry sector, exceeding its yearly target by an average of 173.08 percent. Mining played a major role for the industry sector to meet its yearly targets by an average of 17.59 percent.

With the establishment of the Sumitomo Nickel Ore Processing Plant in Claver, Surigao del Norte, the mining subsector is positioned to add more contribution to the output. The challenge remains in ensuring the balance between mining activities and environmental concerns.

Slowdown of the services sector The services sector contributed an average of 35.75 percent to the GRDP per year. However, in the last three years (2007-2009), it barely moved and in fact decreased slightly year after year. The small share of the finance subsector reflects the same scenario of the region’s economic activity. From 2004-2009, it only contributed an average of 0.81 percent to the GRDP.

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Chapter 2 | Caraga Regional Development Plan, 2011-2016

The services sector grew at an average of 3.58 percent per year. However, it failed to meet its target from 20042009 with an average of negative 4.30 percent. While trade was expected to contribute significantly, it failed to do so, not meeting its yearly target at an average of negative 8.32 percent.

B. Labor and Employment High underemployment rate The region had high employment rate levels averaging 93.61 percent annually, while its unemployment rate showed a decreasing trend. It is important to note the high underemployment rate at an average of 25.63 percent, higher than the national average of 19.95 percent. (Table 2.3) This indicates underutilization of skills, economic capacity, and employed workers. The challenge for the region would be in harnessing the potentials of its human resources. The high underemployment is reflective of the low level of economic activity in the region.

Table 2.3. Labor Force, Labor Force Participation Rate, Employment Rate, Underemployment Rate, 2004-2009 2004

2005

2006

2007

2008

-

944,500

965,750

968,750

998,000

-

Labor force participation rate

69.58

67.25

66.63

66.20

65.90

67.20

Employment rate

89.63

93.70

94.53

93.53

95.40

94.90

Unemployment rate

10.38

6.30

5.48

6.48

4.60

5.10

Labor force

2009

Source: NSO.

Low labor participation rate The region had a low labor participation rate averaging 67.13 percent per year. This means that of the 15 year old and above who formed part of the labor force, only 67.13 percent chose to be part of the labor force and/or actively sought employment opportunities.

Low labor productivity As of 2008, about 44 percent of those employed belonged to the agriculture sector. Despite this, it was only able to produce a puny output or a labor productivity of P15, 103. On the other hand, 13 percent of those employed belonged to the industry sector but it was able to generate thrice that of agriculture for a labor productivity of P45, 656. The challenge lies on how to channel the labor force in sectors that are more productive. For instance, the service sector, particularly the tourism industry, is labor-intensive yet at the same time, it is capable of generating so much output. Another example is manufacturing sector, it is both labor-intensive and capable of high output-yield.

Also, statistical data on labor and productivity should be enhanced to provide more meaningful basis for planning and development.

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Declining trend in agriculture employment Employment in the region as a whole only grew at an annual average of 0.80 percent. Based on the Project Jobsfit Summary of Findings by DOLE, the two subsectors with the highest share in the total employment from 2003-2008 were: mining and quarrying, and wholesale and retail trade with 40.5 percent or 15,000 workers increment each. Meanwhile, agriculture, fishery, and forestry manifested a declining employment with negative 94.59 percent share in total increase in employment or a decrease of 35,000 workers.

In terms of growth rate in employment, the mining and quarrying subsector also displayed the highest annual average growth rate at 37.50 percent. Most of the subsectors that belong to the industry sector registered an average growth rate higher than the regional average growth rate. This makes the industry sector the fastest to increase in terms of average growth rate. (Table 2.4) Employment in the AFF had been decelerating at an annual average of 1.55 percent but still remains as a key employment generator as majority of the labor force are employed in this sector.

Table 2.4. Employed Persons by Major Industry (‘000) and Labor Productivity (P), 2003 and 2008 Employed Persons by Major Industry (‘000) Industry Agri., Fishery, Forestry Industry

Labor Productivity (In peso)

2003 452 100

% Share 49 11

2008 417 126

% Share 44 13

2003 12,709 35,913

2008 15,103 45,656

Services

364

40

411

43

14,499

15,610

All sectors

916

100

954

100

15,954

19,357

Source: NSO, DOLE, NEDA.

C. Price and Inflation From 2004-2009, the region had an average annual inflation of 7.18 percent. There was a notable sharp rise in inflation in 2008 that stood at 14.90 percent. This was due to the sharp incremental rise in fuel prices, which, in turn, caused food prices to skyrocket. (Table 2.5) Table 2.5. Inflation and Consumer Price Index, 2004-2009 2004

2005

2006

2007

2008

2009

Ave.

Inflation

6.60%

8.40%

6.00%

2.30%

14.90%

4.90%

7.18%

CPI

119.5

129.6

137.4

140.5

161.4

168.84

142.87

Source: NSO.

Prices play an important role in the economy of a region: rising inflation also increases the cost of borrowing money. This could affect lending loans used for the creation and expansion of business and economic activities.

When prices rise, food and beverage will most likely be affected. That being the case, the population, especially the food poor, would have more difficulty meeting their food requirements.

The level of price disparity across regions also reflects the level of interconnectivity development between production areas and the marketplace. As areas within and outside the region get more interconnected through concrete and paved roads, there is easier movement and transport of goods, which, in turn, will cause prices to go down. The challenge then is how to increase the region’s output without a huge chunk of it being taken up by inflation.

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Chapter 2 | Caraga Regional Development Plan, 2011-2016

D. Population The total population of the region per census year 2007 was 2,293,480. (Table 2.6.) This represented a 9.45 percent increase over the 2000 population of 2,095,367. The population grew at 1.25 percent annually from 2000-2007, which was lower compared with the country’s growth of 2.04 percent. Caraga’s share to the national population declined from 2.74 percent in 2000 to 2.59 percent in 2007. In 2007 census, the region remained the second least populous region in the country.

Table 2.6. Land Area, Population Density, and Annual Average Growth Rate, 2000 and 2007

PHILIPPINES Caraga Butuan City Agusan del Norte Agusan del Sur Surigao del Norte Surigao del Sur Dinagat Islands

76,504,077

Annual Average Growth Rate 2.04

Population Density (2007) 258

Population Density (2000) 223

2,293,480 298,378 314,027 609,447 409,468

2,095,367 267,279 285,570 559,294 374,465

1.25 1.53 1.32 1.19 1.24

107 89 61 208

98 81 56 190

541,347 120,813

501,808 106,951

1.05 -

110 117

102 103

Land Area (sq. km.)

2007

2000

343,448.30

88,545,270

21,478.40 3,546.90 9,989.50 1,972.90 4,932.70 1,036.30

Source: NSO

Agusan del Sur had the largest population in Caraga at 609,447 persons whereas the Dinagat Islands was the least populated with 120,813. Surigao del Sur had the slowest annual population growth rate of 1.05 percent; Surigao del Norte had the highest population density with 208 persons per sq. km.

Based on the 2007 population, 51.35 percent were males; 48.65 percent, females. Of these, 49.49 percent or 1,132,712 were below 20 years old, 46.16 percent belonged to 20-64 years old, while 4.35 percent were made up of 65 years old and above. (Figure 2.3) Total fertility rate in the region from 2005-2010 was 3.7, higher than the national rate of 3.18. However, it is expected that this will decrease to 3.4 from 2010-2015, still higher than the national rate of 2.96. Although the region has low population growth, it has high total fertility rate.

Figure 2.3. Population by Age Group and Sex, 2007

Male

Female

Source: NSO.

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E. Poverty Reduction High poverty incidence Caraga Region is among the poorest regions in the country. Its level of poverty from 2003 to 2009 was always 75 percent more than the national figure.

In fact, the 2009 region data was 90 percent more than the national poverty incidence of poor families.

Table 2.7, Poverty Incidence of Poor Families, 2003, 2006 and 2009 Incidence of Poor Families (%)

Regions

2003 20.0 2.1 16.1 17.8 15.2 9.4 9.2 29.8 38.0 23.5 32.1 30.2 40.5 32.4 25.4 27.2 25.0 37.6

PHILIPPINES NCR CAR Region I Region II Region III Region IV-A Region IV-B Region V Region VI Region VII Region VIII Region IX Region X Region XI Region XII ARMM Caraga

2006 21.1 3.4 18.6 20.4 15.5 12.0 9.4 34.3 36.1 22.1 33.5 31.1 34.2 32.7 26.2 27.1 36.5 36.9

Looking at the performances of the Caraga provinces vis-a-vis other provinces in the country, Agusan del Sur and Surigao del Sur remained in Cluster I from 2003 to 2009 where Cluster 1 indicates the bottom poor cluster of provinces based on 2009 Poverty Incidence among Families. Surigao del Sur is in Cluster 2 while Agusan del Norte showed a better performance by being in Cluster 3 for 2003 and 2009. Source: 2009 Poverty Statistics, NSCB

2009 20.9 2.6 17.1 17.8 14.5 12.0 10.3 27.6 36.0 23.8 30.2 33.2 36.6 32.8 25.6 28.1 38.1 39.8

Table 2.8, Annual Per Capita Poverty Threshold, Poverty Incidence Among Families, Caraga Region 2003-2009 Province

Annual Per Capita Poverty Threshold (in PhP)

Poverty Incidence Among Families (%)

Agusan del Norte

2003 9,440

2006 11,799

2009 15,422

2003 23.8

2006 26.4

2009 27.3

Agusan del Sur

11,226

14,004

18,443

48.5

45.5

51.2

Surigao del Norte Surigao del Sur Caraga

10,574 9,543 10,355

13,233 11,961 12,935

17,261 15,668 16,858

42.3 35.8 37.6

41.6 33.9 36.9

47.9 36.3 39.8

Source: 2009 Poverty Statistics, NSCB

Of the provinces in the region, Agusan del Sur had the highest Annual Per Capita Poverty Threshold. It may be that the area has higher cost of living therefore making basic commodities more expensive than in other areas. The province also had the highest poverty incidence among families for all periods. Both Surigao del Sur and Agusan del Sur had poverty incidence higher than the regional figure. In 2009, Agusan del Sur’s poverty incidence of 51.2 percent was almost 29 percent more than the regional figure and almost 7 percent more than the Surigao del Norte figure. Agusan del Norte and Surigao del Sur have figures lower than the regional average incidence.

While Agusan del Norte showed an increasing incidence, it was still the area with the lowest incidence among four provinces in the region.

The Community-Based Monitoring System (CBMS) of the provinces were almost reflective of the NSCB statistics.

The 2009 CBMS of Agusan del Sur showed a 54.80 poverty incidence among families with the Municipality of Veruela having the highest incidence at 73 percent and the Municipality of Bunawan having the lowest incidence at 18.80 percent. The latest 2007 CBMS of Agusan del Norte, however, showed an alarming trend of higher incidence than that of Agusan del Sur. The provincial incidence registered a 56.74 percent incidence with the Municipality of Jabonga as poorest at 79.88 percent and the Municipality of Nasipit as the least poor with 47.39 percent.

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Chapter 2 | Caraga Regional Development Plan, 2011-2016

Low domestic savings among families

Annual average family income grew by 26.27 percent from 2006 to 2009 against a 25 percent growth of average expenditure for the same period. A glaring reality is that families belonging to the lowest level of income brackets are spending more than what their income. Families in the higher income brackets, on the other hand, are saving more than the families in the lower income brackets.

Low levels of domestic savings reflect low supply of credit and high cost of finance, which further slows down economic growth and poverty-reduction efforts. On the other hand, those belonging to higher income brackets reflect higher saving propensity. Increased domestic savings would lead to increased capital available for private investments which in turn can be used to increase productivity and generate employment opportunities.

Rising income inequality While the economy of the region grew, it did not necessarily translate into increased income among lower income brackets, as income distribution in the region had been largely unequal. Its Gini coefficient in 2009 was posted at 0.4595 from 0.4452 in 2006 meaning the region experienced a growing inequality among and within income clusters. The regional figure in 2009 was higher than the national figure of 0.4484.

High subsistence incidence of families From the 2009 regional annual per capita poverty threshold of PhP 16,858, only 42 percent (PhP 11,863) was the set amount to meet the basic food needs, families falling below the level of the annual per capita food threshold are considered subsistence families or food poor. The region was not only poorest based on incidence in 2009 but was also the food poorest for the same period. The regional figure has been increasing from 16.6 percent in 2003 to 16.9 percent in 2006 to 19.7 percent. Agusan del Sur and Surigao del Norte had higher figures than the region figure with 30.8 percent and 23.6 percent, respectively. Both provinces did not only have the highest incidence of poor families but had the biggest proportion of families who were likewise food poor. Moreover, the results of the 2009 CBMS of Agusan del Sur revealed a 33.41 percent incidence.

The region had an annual average family savings of P18, 000 in 2006. It grew by 50 percent from 2003-2006 or about 16.67 percent per year. However, a look at the savings per income bracket reveal that those belonging to income brackets below P60, 000 had negative savings, as expenditures were higher than income.

On the other hand, those belonging to higher income brackets reflect higher saving propensity. Increased domestic savings would lead to increased capital available for private investments which in turn can be used to increase productivity and generate employment opportunities.

II. STRATEGIC FRAMEWORK The Aquino Administration envisions sustained economic growth that provides productive employment opportunities. It targeted a real GDP growth rate of 5 to 6 percent for 2010 and 7 to 8 percent for 2011-2016.

In line with this thrust, Caraga Region is also targeting the same level of growth rate in view of developments expected in the next six years.

Increased productive employment opportunities brought about by high economic growth, equal access to opportunities, and provision of adequate social safety nets will reduce poverty. One of the strategies to achieve high economic growth is by increasing the level of private investments and entrepreneurship especially in the fishery, agro-forestry, mining, and ecotourism sectors, in support of the goal of the region to become FAME Center of the country.

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With continuous investments in the mining industry, the industry sector is seen to continue its trend of growth.

One reason is the ongoing construction of the US$1.3 billion Sumitomo Nickel Ore Processing Plant that will be completed by 2013, after which operations follow. This supports the thrust of increasing value-adding activities for the region’s resources and is expected to increase investments, exports, employment, and LGU income.

On the other hand, there is a need to focus on improving the agriculture, fishery, and forestry performance of the region as this sector had been declining for the past years. This should be a doable undertaking since the region is rich in natural resources including those from the sea and a large labor force on the wings.

Improving access to development opportunities within the region would ensure that people could take advantage of employment opportunities, which, in turn, translates to poverty reduction. Human resource potentials should be harnessed through the provision of better education, health care, and nutrition and other basic social services. It is also important to improve access to infrastructure, credit, land, technology, and other productive inputs. Good governance would be a significant contributor in equalizing access to opportunities while strengthening investor confidence would fuel more growth.

To increase levels of private investment and entrepreneurship, domestic savings should be encouraged through stronger advocacy. This would help lower the cost of finance and improve access to credit, creating more enterprises that generate both income and employment leading to reduced poverty.

A. GRDP Performance Objective To sustain high economic growth that provides productive employment opportunities.

Targets 1. Achieve a real GDP annual average growth rate of 7 to 8 percent for 2010-2016 2. Decrease underemployment rate by 5 percent per year 3. Increase labor force participation rate by 5 percent per year 4. Increase labor productivity by 5 percent per year Table 2.9. GRDP Growth Targets, 2010-2016 (In %) Industry/Year AFF Industry Services GRDP Target

2010 2.00 10.00 3.00 6.00

2011 4.00 15.00 4.00 7.00

2012 6.00 20.00 5.00 7.50

2013 8.00 25.00 6.00 8.00

2014 10.00 30.00 7.00 8.50

2015 12.00 35.00 8.00 9.00

2016 14.00 40.00 9.00 9.50

Ave. 8.00 25.00 6.00 7.93

Source: NEDA Caraga

Table 2.10. Projected Population by Five-Calendar Year, 2010, 2015, and 2020 Both Sexes Male Female

2010 2,549,400 1,302,500 1,246,900

2015 2,799,600 1,430,600 1,369,000

2020 3,049,100 1,558,000 1,491,100

Source: NSO

Table 2.11. Population Growth Rate by Province, 2010-2015 and 2015-2020 (In %) Caraga Agusan del Norte Agusan del Sur Surigao del Norte Surigao del Sur Source: NSO

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Chapter 2 | Caraga Regional Development Plan, 2011-2016

2010-2015 1.87 1.70 2.21 1.87 1.66

2015-2020 1.71 1.54 2.03 1.71 1.50

Strategies and Policies 1. Increase private investments and entrepreneurship especially among MSMEs 2. Increase investments and net exports on the demand side 3. Provision of adequate infrastructure 4. Improve investor confidence through good governance and political stability 5. Develop the fishery and agro-forestry potentials 6. Develop eco-tourism potentials 7. Promote responsible mining and mineral processing

B. Poverty Reduction Objective The overriding goal of this region is to reduce its poverty incidence and rise above the stigma of being among those at the bottom rung.

Target Reduce poverty incidence by 50 percent by 2016 or 2.275 percent reduction per year from 2006-2016 Table 2.12. Poverty Incidence Targets, 2006-2016 (In %)

Caraga

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

45.5

43.23

40.95

38.68

36.40

34.13

31.85

29.58

27.30

25.03

22.75

Source: NEDA Caraga.

Strategies and Policies: 1. Proper targeting system by harmonizing the National Household Target System (NHTS) and the Community-Based Monitoring System (CBMS) 2. Implementation of conditional cash transfers through Pantawid Pamilyang Pilipino Program (4 Ps) 3. Shift to employment creation through entrepreneurship 4. Implementation of entrepreneurship capability programs 5. Introduce alternative income generating projects 6. Provision of skills training and livelihood opportunities 7. Equalize access to development opportunities 8. Advocacy on increasing domestic savings among families

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Chapter 3 : Competitive Industry and Services Sector I. ASSESSMENT AND CHALLENGES Overall Assessment The industry sector slowly gained strength in 2006-2009 from its low performance in 2004-2005. The sector recorded an impressive growth from 2005-2007 with an annual average of 21.39 percent. Over its annual targets, it recorded an average excess of 17.70 percent in the last six years.

The significant performance of the sector was attributed to the increase in outputs of the mining and quarrying subsector that recorded an average growth of 53.39 percent in the last six years. The manufacturing subsector failed to meet the region’s expectation of sustaining economic growth; in the last three years, the subsector had seen negative growth.

The services sector did not do good either. It showed a dismal performance as it posted an annual average of negative 4.22 percent over its yearly targets for 2004-2009. The trade subsector hardly made a dint in improving the sector’s performance. The level of economic activity had been sluggish as marked by small share of the finance subsector with an average of 0.81 percent to the region’s output. In the last three years, its GVA shares slightly decreased.

The Department of Trade and Industry’s Rural Micro Enterprise Promotion Program (RuMEPP) is aimed towards helping the poor entrepreneurs and rural families by providing technical and financial support for micro enterprises. Since its implementation two years ago, a total of P238.33 million had been released to 18,678 micro entrepreneurs.

Figure 3.1. MPSA by Province, March 2009

Micro-enterprises that benefited from the program include arts and crafts, seaweeds, and abaca clusters. However, contribution of the clusters in total GVA output of the industry and services is still low as only mining, abaca, processed Source: MGB Caraga foods, and tourism clusters recorded increasing growth.

A. Industry Sector Impact of mining and quarrying Mining and quarrying activities significantly increased in the past five years. As of 2009, there were 41 approved Mineral Production Sharing Agreement (MPSA) covering a total area of more than 96,000 hectares (Figure 3.1).

The province of Dinagat Islands had the most number of approved MPSAs but Surigao del Norte had a bigger area covered. There were a total of 71 applications for production sharing agreement (APSA) with an aggregate area of 247,916 hectares and 118 exploration permit applications covering an aggregate area of 96,186 hectares.

Mineral resources exports in 2009 recorded a vigorous increase of 58 percent over the 2008 figure with limonite nickel ore topping the mineral exports. Other mineral exports also recorded growth but failed to make a dent.

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Chapter 3 | Caraga Regional Development Plan, 2011-2016

Gold production, on the other hand, recorded the highest increase of 45 percent since 2004 due to the high price of this precious metallic mineral.

Two big mining companies have started constructing their mineral processing plants in Surigao del Sur and Surigao del Norte. The processing plants will be operational within 2011-2016 and these should employ a significant number in the labor force. Consequently, there will be an increase in economic activities and growth of services.

While the mining and quarrying activities were on the rise, watershed resources and tourist potentials were being threatened by these extractive activities. It should always be an underlying principle that the development of mining should not undermine the growth and potentials of other resources. Most of the mining areas and applications for mining and quarrying activities have also been identified as watershed, meaning the areas are rich in biodiversity and tourism potentials.

The region has been calling for balanced development, yet critical resources are being compromised. Sustaining other critical resources like water and tourism areas, and rich biodiversity should be the primary challenge of the region.

Insipid growth in the manufacturing subsector The manufacturing subsector failed to meet expectations of sustaining the region’s growth. The sector contributed a pittance of an average of 0.56 percent per year in 2004-2009 and negative growth in the last three years.

Agricultural and industrial crops processing did not perform well as the subsector was affected by the global financial crisis and power shortage in 2009. Since 2004, there had been no significant increase in the construction of processing plants for agricultural and industrial crops. Food processing slightly gained strength through the convergence of major key players under the industry cluster strategy.

The four vaunted special economic zones of the region proclaimed then as the would-be-chief contributors to the manufacturing subsector had not really been fully operational. The Tubay Agricultural Processing Center (TAPCEN) in Tubay, Agusan del Norte has been operating in part since 2006 but its operation and output did not contribute significantly to the sector. The Shanallyne Technological and Environmental Park (STEP), with a plan of establishing a wood-based processing plant in Agusan del Sur, encountered difficulty in realizing its development plan due to social and technical problems. Nonoc Island Special Economic Zone (NISEZ) has been engaged in mining and quarrying but no processing had been done due to the absence of a mineral processing plant, while the Nasipit Agusan Norte Industrial Estate (NANIE) has not even started yet, although its development plans had been approved and its ECC had been granted.

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Despite of the problems encountered by the wood-based sector, manufactured forest products has sustained its growth for the period 2006-2009 (Table 3.1). Foremost of the manufactured forest products include plywood, veneer, sawn lumber, blockboard, plyboard and fiberboard.

Some wood-based processing plants like mini sawmills and veneer and plywood manufacturing plants had reduced its number due to the inadequate supply of forest products. This problem was addressed later in 2009 as some proceesing plants shifted to importation of primary raw material in the production of plywood. Out of the 91 wood-based processing plants, 19 or about 20 percent had stopped operating. The global financial crisis (GFC) in 2008-2009 coupled with inadequate supply of power has generally affected the growth of this subsector.

Table 3.1 Production of Forest Products, 2006-2009 Products Lumber Veneer Plywood

Volume (cu. meter) 2006

2007

2008

2009

84,978 236,250 122,347

72,508 246,052 141,637

5,158 191,623 128091

66,581 232,697 127,244

38,431

40,933

Blockboard

98,964

44,133

Treated Poles

2,756

1,073

Fiberboard

6,892

5,963

10,181

13,569

22,474

18,257

10,992

19,347

3,486

969

Barecore Imported Veneer

773

1,113

Source: DENR Caraga

B. Services Declining growth of trade and investments Generally, the number of new micro, small and medium enterprises (MSMEs) slightly reduced by 28 in 2009 over the 2008 figure. Data show that a total of 21,230 new MSMEs were created in 2004-2009 or an annual average of 3,538 MSMEs. A significant decline was recorded in 2007 when 1,705 MSMEs or 33 percent faded from the scene in 2006. The province of Agusan del Norte started to gain strength in the last two years from its biggest drop in 2007. The other three provinces recorded declining business name registered. (Table 3.2) Table 3.2. Business Name Registration by Province, 2004-2009 Province

2004

2005

2006

2007

2008

2009

Agusan del Norte

886

1,123

2,309

1,344

1,398

1,517

Agusan del Sur

351

585

704

740

731

650

Surigao del Norte

446

625

1,227

716

871

680

Surigao del Sur

413

750

911

646

713

894

2,096

3,083

5,151

3,446

3,713

3,741

Total Source: DTI 13

For the past six years, investments in the region showed a fluctuating trend. Increases in investments were recorded in 2005, 2006, and 2008 (Table 3.2.), but these were not sustained in the ensuing years, as significant decreases were observed in 2007 and 2009. A reduction of 27 percent from the 2008 figure of P3, 022.76 million was recorded in Caraga in 2009. Although Agusan del Norte posted modest growth in 2009, the other provinces recorded significant decreases in their investments. The slowing down of investments was primarily attributed to the global financial crisis that started in the last quarter of 2008 until the first quarter of 2009.

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Chapter 3 | Caraga Regional Development Plan, 2011-2016

A total of P13, 543.47 million of investments had been generated or an annual average of P2, 257 million during the years 2004-2009. A significant decrease of P806.45 million or 26.67 percent in investments was recorded in 2009. This was attributed primarily to the low opening of services and opportunities affected by the global financial crisis. While the province of Agusan del Norte was slowly picking up in 2009 from its slump two years before, the other three provinces had not been able to recover from its dismal performance in investments.

Table 3.3. Investments by Province, 2004-2009 (In PhPM) Province

2004

2005

2006

2007

2008

2009

Agusan del Norte

726.51

879.87

1,186.48

744.39

721.13

905.95

Agusan del Sur

157.84

174.64

130.93

338.09

1,100.00

669.70

Surigao del Norte

460.73

422.03

853.49

630.37

804.21

347.63

Surigao del Sur

646.48

254.89

302.99

394.67

397.42

293.03

1,991.56

1,731.43

2,473.89

2,107.52

3,022.76

2,216.31

Total Source: DTI 13

Exports The region’s exports posted an annual average of $213,864,000 until 2009 despite its fluctuating trend since 2006. The region recorded the highest export sales of $359,099,000 in 2007 when the overseas demand for mining products rose substantially. However, a hefty decrease of 62 percent in exports was observed the following year. The region recovered when it posted a modest figure of $229,655,000 in 2009 or about 68 percent increase from the 2008 figure. The increase was attributed to the high demand in seafood and chromium ores. The exports for seafood significantly rose to almost 2,000 percent from the previous two years due to quality production while the demand for chromium ores increased by almost 200 percent. Other commodities experienced slight drop in their demand.

Agusan del Norte’s sales of $124.627 million contributed the bulk of the region’s exports, the highest of the four provinces in 2009. Export commodities include seafoods, nickel ores, chromium ores, copra, veneer, flat rolled products/alloy steel, other semiconductor devices, clothing, and arts and crafts.

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Tourism Declining tourist arrivals The tourism sector grew positively but on a declining trend. A positive but declining growth was recorded in 20072009. Major areas of the region suffered setbacks in their tourism arrivals for the last three years. Butuan City, which accounted for 48 percent of the tourist arrivals in 2008, recorded a consecutive negative growth in tourist arrivals. Likewise, the provinces of Agusan del Norte and Surigao del Sur both had negative 43 percent growth in 2009. Surigao del Norte, Agusan del Sur, Bislig, Tandag, and Surigao City posted positive growth while the number of tourist arrivals in Agusan del Sur and Surigao City decreased.

Tourism, here and elsewhere, has been proven a potent ingredient for progress.

Table 3.4. Number of Tourist Arrivals by Province/City, 2007-2009 City/Province Butuan City Bislig City Surigao City Tandag City Agusan Del Norte Agusan Del Sur Surigao Del Norte Surigao Del Sur Dinagat Islands Caraga

2007 217,796 14,545 77,935 15,150 19,207 25,752 15,150 380,408

2008 200,417 17,966 103,547 7,110 21,788 28,390 26,192 14,507 419,917

2009 197,851 22,408 115,412 15,265 12,273 29,882 37,924 8,237 17,231 456,933

Average Growth,% ‘07-‘08 -8.00 23.52 32.86 43.81 47.81 1.70 -4.24 10.38

‘08-‘09 -1.3 24.72 11.45 114.69 -43.67 5.25 44.79 -43.22 8.81

Source: DOT Caraga.

Low tourist arrivals shares The tourist arrivals in Caraga were relatively modest compared to other regions in the country.

On the regional level, domestic travelers totaled 388,023 accounting for 92 percent of the total tourists in the region; foreign travelers made up 7 percent or a total or 29,570 foreign tourists. The percentage share of foreign tourists in 2008 compared to 2007 grew by only 2 percent, an indication that the tourism industry was gaining despite the global financial crisis. The top five countries of origin were United States of America, 33 percent; Australia, 16 percent; China, 13 percent; Canada, 9 percent; and Japan, 7 percent. The intensified marketing and promotion efforts contributed to the sustained growth of foreign tourists in the region coupled with the events and festivals being spearheaded by the local stakeholders.

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Chapter 3 | Caraga Regional Development Plan, 2011-2016

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While tourist arrivals had been increasing in the last 10 years, Caraga Region’s share to the total number of tourists in the Philippines remained insignificant. At an average, Caraga posted an annual average of 7.6 percent.

This showed that there are still a lot of things to be done to be competitive in this sector.

Low occupancy rates As one looks at the tourism-related facilities in the region, accommodations and recreational facilities are available and still growing; majority of the hotels, lodging houses, and other facilities are located in Butuan City.

The premiere city had a total of 10,874 rooms or 40 percent of the available rooms in the region. Only the three cities namely Butuan, Bislig, and Surigao City have hotels while most of the resorts can be found in Surigao Del Norte due to its pristine islands and white beaches. The average occupancy rate for all the accommodations in the region was only 28 percent, which is considerably low. (Table 3.4) Table 3.5. Total Number of Rooms and Occupancy Rate per Province and City, 2007-2008 City/Province Butuan City Bislig City Surigao City

2007 Occupancy Number Rate (%) 10,770 42.29 1,317 28.35 5,757

40.90

Number 10,874 1,124

2008 Occupancy Rate (%) 43.67 29.56

6,033

30.24

377

15.68 18.76 29.80 3.09 68.65 14.04 28.17

Tandag City Agusan Del Norte Agusan Del Sur Province of Dinagat Islands Surigao Del Norte Surigao Del Sur

583 2,684

24.56 22.55

3,493 2,402

67.17 5.68

1,196 2,732 1,020 3,992 340

Caraga

27,006

33.08

27,688

Source: DOT Caraga.

In terms of occupancy, the province of Surigao del Norte recorded the highest with 68.65 percent; Butuan City only had 43 percent. The overall picture of facilities vis-a-vis occupancy rates is quite frustrating. Current government efforts like that of the Department of Tourism for Caraga are geared towards the improvement of tourism indicators of the region. The DOT had been giving assistance to various tourism-related projects to further strengthen the tourism industry in the region.

C. Information and Communication Technology Inadequate information and communication technology Not one city in the Caraga Region had been identified and listed in the published New Wave Cities of the Philippines in 2009. Based on the criteria, the cities in the region were not able to meet the criteria of being BPO-friendly cities. Business Process Outsourcing (BPO) criteria include indicators in improving income, employment, and competencies of the IT graduates of local universities and colleges.

Despite the current improvement of the region’s ICT, as evidenced by the increasing number of related IT establishments, it is relatively low compared to the neighboring regions.

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Chapter 3 | Caraga Regional Development Plan, 2011-2016

II. STRATEGIC FRAMEWORK Competitive industries and service have been consistently the primary sources of stable and remunerative jobs.

Sustainability of the sectors in providing modest and positive growth to the region’s economy is crucial in reducing poverty in the region.

It is ironic that despite having a large employment rate, the region continues to suffer a malnourished economy.

The status quo is unacceptable when the region continues to lag in many aspects of growth, or when only a few continue to benefit off the land and its resources. It is imperative therefore that there be serious overhaul of its policies and strategies. The PPP program should be a good sounding board where private and public participation converge and grow. Couple this with supportive policies geared towards achieving a region with competitive industries and service. The ICT, research, and development should be enhanced to improve linkage with neighboring regions.

In its desire to integrate to the national economy and global economy, the region should continue to underpin government policies supportive to stimulating business activities and promoting competition.

The development of the sectors needs greater participation from the private sector as the main driving force of the economy. They must be encouraged to lead in the generation of productive employment opportunities and fill in the gap which government is unable to supply. Government has to provide enabling policies supportive of sustainable business growth like simplifying and shortening bureaucratic processes and maintaining marketfriendly regulations to reduce the cost of doing business.

Caraga should have an ongoing program in capacity building to assure a pool of competent workers to address the inadequate supply of skilled workers in the industry and service sectors.

Towards the attainment of the foregoing concerns, the region should encourage investments to infuse the region in the next six years.

A. Industry Mining Objectives 1. A responsible and harmonized mining sector with other development priorities 2. Assurance of increased benefits derived from mining Targets 1.

2.

3.

4.

5.

6.

To have delineated 30 percent of watersheds within mining claims by 2016 To have 50 percent of the Application for Production Sharing Agreement (APSA) approved by 2016 To have 50 percent of exploration permits (EP) approved by 2016 To have increased by 50 percent the Social Development and Management (SDMP) from 2009 level To have increased by 25 percent annually the mining share to GRDP until 2016 To have increased mining employment by 50 percent by 2016

Strategies 1. Delineate watershed area within mining claims – there are a lot of watershed areas covered with mining claims. If the watershed is identified as the source of major irrigation water or potable water source of the community, then these must be delineated. As part of the corporate social responsibility, a company has the obligation to maintain and protect the welfare of the community within the project area. To facilitate the delineation, the company can extend possible assistance to the concerned community.

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2. Facilitate compliance of requirements for mining applications – the proponent applying for a permit to go into exploration and mining production has to comply with the prescribed requirements before the applications can be processed. If all the requirements have been complied with, applications can be processed within the specific timeframe.

3. Establish mineral-processing facility – the value of the raw minerals could be greatly added if these can be processed locally. To attain this, it is imperative to create mineral processing plants in the region. More employment and increased in GVA shares are sure to follow.

Programs, Projects, and Activities 1. Social Development Management Program (SDMP) 2. Establishment of Mineral Processing Plant 3. Delineation of priority watershed Manufacturing Objective Increased shares of the manufacturing subsector Targets 1.

2.

3.

4.

5.

6.

To operate one Special Economic Zone (SEZ) by 2016 To increase forest production by 15 percent in 2011-2013 and 25 percent by end of 2016 To increase employment by 15 percent by 2016 To have a 10 percent annual increase in GVA shares until 2016 To have one agro-industrial processing plant established annually for the planning years 2011-2016 To increase area planted to plantation trees by 25% from 2009 figure in 2016

Strategies 1. Ensure growth of more manufacturing and processing centers - manufacturing and processing facilities provide value-added to the region’s abundant resources. These also contribute in the generation of employment thereby increasing the disposable income of the family. Government must provide enabling mechanisms to ensure the establishment and operation of processing and manufacturing facilities.

The operation of the proclaimed special economic zones or SEZs should facilitate the growth of manufacturing and processing facilities for value-adding activities. Supportive policies and attractive tax incentives would encourage investors to locate to the SEZs. 2. Strengthen mechanism for sustained forest productivity – as one major contributor to the region’s economy for the past decade, the forestry subsector has to be sustained as significant number of families depends on this major resource.

3. Strengthen existing tenurial instruments that provide significant gains in the subsector - the Community Based Forest Management Agreement (CBMA), the Industrial Forest Management Agreement (IFMA), and the Co-Management and Production Agreement are mechanisms that should be improved tremendously and implemented immediately.

4. Localize manufacturing of gold into finished products – although considerable production of gold has been going on for years, there was no value-adding activity that took place. The region is awash with gold and the region and its people should benefit from it. Gold should be processed and manufactured into finished products by the locals themselves and investors should to be inveigled to set up a gold processing/manufacturing facility in Caraga.

5. Strengthen production of plantation trees – continuing advocacy to improve level of interest from among the rural stakeholders to venture into plantation trees as the demand continues to rise.

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Chapter 3 | Caraga Regional Development Plan, 2011-2016

Programs/Projects/Activities 1. Integrated Coconut Processing Plant 2. High Value Commercial Crop Production 3. Comprehensive Integrated Development Program 4. Community-Based Forest Management 5. Capability Enhancement Program

B. Services Trade and Investments Objective Within the planning period, there should have been improved growth of trade and investment Targets 1.

2.

3.

4.

5.

To have a 25 percent increase of MSMEs by 2016 To have an annual positive increase of investments until 2016 To increase employment by 15 percent annually until 2016 Definitely to bat for positive increase in exports yearly until 2016 And to have a balanced trade, have imports reduced by 25 percent by 2016

Strategies 1. Strengthen one-stop-shops in every LGU – one-stop-shops facilitate reduction of time in the processing of business permits. They also enhance quality performance of the concerned LGUs in the delivery of services to the public. In one-stop-shops, processes can be observed, thus prevent the proliferation of fixers and eliminate red tape in the bureaucracy.

2. Promote attractive tax holidays and other incentives – attractive tax holiday would encourage potential investors to put up a business in the region. Provision of appropriate and attractive incentives and tax holidays should be given focus by the concerned LGUs to increase growth of investments in the locality.

3. Strengthen marketing and facilitation unit through linkages – to enhance access and sharing of information relative to industry development, linkages with other partners and potential players should be strengthened. This would impact on sharing and acquiring of best practices that should improve enterprise/industry.

4. Intensification of OTOP – the unique concept of one-town-one-product has already established positive gains among LGUs and key players like industries, agro-processors, and manufacturers. With DTI support in the multi-tiered strategy of OTOP - from product selection, development, to packaging and marketing – there is no reason why would be entrepreneurs fail it their endeavors for financial gain. Other industries that need support in the implementation of OTOP, should be given priority to intensify the development strategy.

5. Continue provision of business development services, especially value-adding – valueadding activity should improve the cost and salability of the product when presented in the market.

This activity is sure to impact on job generation and increase family incomes. One example is the processing of gold minerals into fine jewelries and ornaments and other products of Caraga.

6. “Buy Caraga Products” advocacy – the establishment of OTOP Center is one strong advocacy to all Caragans and to local and foreign tourists to patronize the local products. The quality of the products promoted by the center should be improved and maintained and regularly monitored by the concerned agency and the local government units.

7. Strengthening of industry clustering – to continuously provide and supply the demand of a growing population, the clustered industry, i.e. high value vegetables, abaca, arts and crafts, processed foods, etc. should be strengthened through policy and technical support from government.

Programs/Projects/Activities 1. Rural Micro Enterprise Promotion Program (RuMEPP) 2. Establishment of One-Stop Shop

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Improving Tourist Arrivals As one of the region’s sure-fire potentials, tourism should be supported with policies and holistic packages to lure a multi-tiered clientele. The region should realize that the tastes of local and foreign tourists of today are more discriminating and adventurous. Caraga should do a serious and in-depth study of the region’s existing and potential tourist spots. What perhaps is not obvious is that the strength of the region lies in that it is a place made important by its historicity (e.g., balanghai, first mass, the golden tiara), which all other regions do not have.

Since these are its signature landmarks, these are just some of the areas that should be cultivated. Where other region’s forte are in cultivating its physical areas, Caraga’s is more cerebral and therefore, more critical meaning it would be catering to an entirely section of the tourist pie. More local stakeholders are beginning to recognize the importance and potentials of the tourism industry in the local economy. Despite the onslaught of the global financial crisis in 2008, the tourism sector had remained robust and had contributed positively to the region’s economy.

There is an open door to develop a range of recreational facilities and activities to attract both local and international tourists. One primary opportunity is the pristine eco-tourism potential of Caraga. Distributed in the various provinces, these potential eco-tourism areas can contribute in the goal of increasing revenues of the local government units while opening an opportunity for the community to engage in economic undertaking.

The unique waterfalls of Bislig City, the Sohoton Cove in Siargao and the Agusan Marsh of Agusan del Sur have already attracted significant number of tourist for the past 5 years. Coupled with rich cultural ethnicity and historical background, these potentials can be packaged to lure more tourists.

Objective As a region steeped in history and rich in culture and tradition, Caraga has many strong points that would entice local and foreign tourists to visit. The objective therefore is to bring forth all these so that within 20112016, there would be a surge of tourist arrivals in the region.

Targets 1. To achieve a 25 percent increase in occupancy rates within 2010-2013 and 50 percent in the latter 2014-2016 2. To have an annual positive increase of 15 percent of tourist arrivals until 2016 3. To have at least a 35 percent increase in tourist employment until 2016 4. To have a 30 percent increase in tourist receipts by 2016 5. To have developed and packaged 50 percent of the priority tourism sites by 2016 Strategies 1. Strengthen promotion for the tourism development areas – the new Philippine National Tourism Development Plan identified potential areas of Caraga region into tourism development areas or TDAs. These are potential areas that can provide growth of tourism in the next six years. The TDAs include Dinagat-Siargao Islands, Surigao City-Lake Mainit, Butuan City-Cabadbaran, Agusan Marsh, Agusan Sur-Hinatuan, and Agusan Sur-Bislig areas, among others.

2. Sustain the peace and order in the region – the increase in tourist arrivals and growth of the tourism industry presupposes a sound peace and order condition in the area. It is therefore the responsibility of every Caragan to ensure the safety of these tourists as if he/she were personal guests and should take out all stops to make their visit an unforgettable experience.

3. Strengthen promotion of available tourism packages – tourism packages are already being promoted by the concerned agencies and LGUs but these appear to be inadequate in attracting tourists. There should be an inspired repackaging of the area so that Caraga would stand out as an interesting or hard-to-resist tourist destination. It follows of course that novel promo collaterals and a sustained information campaign accompany all these.

4. Improve accessibility to tourist destinations – the identified tourism potential areas should be provided with appropriate infrastructure to improve access to the area. Access roads, cemented and lighted footpaths, state-of-the-art comfort rooms, adequate lodgings, are just some of the infrastructure needed to make the region at par with other tourist destination areas.

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Chapter 3 | Caraga Regional Development Plan, 2011-2016

5. Promote the implementation of the Tourism Act of 2009 – various strategies supportive to the development of the tourism industry have been defined in the Tourism Act of 2009, these should be followed to lure tourists in the area.

6. Strengthen homestay program – the community-based strategy to improve capacity of local folks in the promotion of their tourist assets provides additional source of income in the locality.

7. Upgrading of airport and seaport and other infrastructure support.

8. Institutionalize tourism offices to municipal level.

9. Product development and marketing. Packaging of tourism products improves the facilitation of tourists entry to the region. Support services like transport for easy access, relevant information and cost should be made available.

10. Promote Public-Private Partnership (PPP) to improve tourism facilities, transportation and related services.

Programs, Projects, and Activities 1. DOT Tourism Packages Promotion Program 2. Infrastructure Support Facility to Tourism 3. Enhancement of the Home-stay Program 4. Human Resource Development and Skills Training Program 5. Provision of access road in all tourism development areas 6. Completion of the Lake Mainit circumferential road 7. Upgrading of airport and seaport facilities 8. Promotion of PPP

C. Information and Communication Technology Objective Within the period, the goal is to have an improved growth in the information communication technology side; to lag behind is not an option.

Targets 1. To establish broadband facilities in all critical and common areas where people converge and communicate.

2. To set up three business process outsourcing in three cities by 2016 Strategies 1. Enhance the telecommunications system – the telecommunication facilities in the region are not so reliable and efficient partly due to outdated equipment and facilities. To cater to the increasing needs of the IT industry and of the times, telecommunication facilities should be continuously upgraded and the people to man these should be IT savvy.

2. Facilitate establishment of a reliable broadband network – the selection and setting up of a reliable broadband network is crucial and immediate. The selected broadband should be able to accommodate the heavy load requirements of BPOs in the cities of Caraga.

3. Ensure sustainable supply of power for the ICT industry – to sustain the presence of the BPOs and expansion of ICT, adequate power supply should be available at all times. Caraga has the potential sources of power requiring a huge financial investment. PPP strategy should be explored in this area.

Program, Projects, and Activities 1. Upgrading of ICT facilities 2. Establishment of BPOs 3. Construction of Hydropower Plants to sustain power requirements 4. Competency Enhancement of IT graduates

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Chapter 4 : Competitive and Sustainable Agricultureand Fisheries Sector I. ASSESSMENT AND CHALLENGES The performance of the agriculture and fisheries subsector generally did not improve as shown by the fluctuating trends of major agricultural crops, fisheries, and livestock productivity. Its annual contribution to the gross regional domestic product (GRDP) exhibited a decreasing trend since 2004.

The declining performance of the sector was partly clarified by the limited dynamism of growth experienced in 2004-2010 due in part to external and internal bottlenecks – reduction in area harvested, unfavorable weather that contributed to the low performance of agriculture and fisheries, shifting of farmers to other industrial crops, global crisis that hit in late 2008 contributed likewise to the dwindling productivity as demand for agricultural products decline.

Compared to other Mindanao regions, Caraga’s agriculture performance was relatively low. The region’s productivity of other major crops was only comparable to that of Region IX and ARMM.

A. Food Security Low productivity As to specific crops, the increasing production of palay from 2004-2007 was not sustained in 2008 and 2009 (Table 4.1). The crop recorded an annual average decrease of 15,144 metric tons (MT) for those two last years, good enough to address the yearly per capita requirement of 72,690 people. The decrease was attributed to the unfavorable weather and failure of some irrigation systems to provide adequate supply of water. The unusual heavy precipitation that affected some parts of the region destroyed not only agricultural crops but also some agriculture infrastructure.

The province of Agusan del Sur had been the top producer of rice since 2004 and only experienced a decrease in its output in 2009 due to reduction in area. The provinces of Surigao del Norte and Surigao del Sur posted increases of 4,585 MT and 6,504 MT, respectively, in 2009 over the 2008 figures.

Table 4.1. Rice Production by Province, in metric tons, 2004-2009 LOCATION

2004

2005

2006

2007

2008

2009

351,629

385,963

408,774

455,838

447,317

429,359

83,765

82,215

85,800

96,385

90,515

76,187

134,266

155,744

160,204

182,815

197,568

179,533

Surigao del Norte

67,629

69,395

78,386

81,941

75,210

81,868

Surigao del Sur

65,969

78,609

84,384

94,697

84,024

91,771

Dinagat Islands

-

-

-

-

-

2,336

Caraga Agusan del Norte Agusan del Sur

Source: BAS.

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In 2009, the reduced area of 1,086 hectares planted to rice naturally decreased the amount of rice harvested.

In terms of yield, an increasing number of rice farmers were reaping with an average yield of more than four MT per hectare. Despite this development, on a regional average, Caraga had just reached an average yield of 3.20 MT per hectare for the period 2004-2009 (Table 4.2). On a year-to-year basis, highest average yield was recorded in 2007 with 3.41 MT per hectare. This average yield, however, was not able to meet the regional target of 3.5 to 4 MT to attain rice security.

Table 4.2. Area Harvested and Average Yield Per Hectare of Rice, in metric tons, 2004-2009 LOCATION

2004

Caraga

2005

2006

2007

2008

2009

115,348

116,766

126,058

133,444

138,259

137,173

Agusan del Norte Agusan del Sur

23,414 43,175

23,985 43,762

25,499 47,633

27,207 52,727

26,545 58,082

23,482 56,630

Surigao del Norte Surigao del Sur Dinagat Islands

26,179 22,580 -

25,179 23,840 -

26,800 26,126 -

26,247 27,263 -

26,861 26,771 -

27,722 28,533 2,336

3.05

3.30

3.24

3.41

3.23

3.10

Average Yield Source: BAS.

Among the regions in Mindanao, Caraga recorded the lowest palay production for the past six years contributing only 15 percent of total.

The region did not meet the rice requirements of the 2.293 million population to satisfy the sufficiency level from 2007-2009. The region harvested a total of 429,359 metric tons of palay in 2009, way below of the more than 484,281 metric tons of sufficiency level requirement. On the provincial level, only the province of Agusan del Sur had satisfied its yearly requirements since 2004; and in 2009, it recorded a surplus of 37.70 percent sufficiency.

The other provinces recorded below the sufficiency levels with the province of Surigao del Sur having the lowest.

Table 4.3 shows the trend of production of other major agricultural crops in the region. Major crop production in the region experienced a significant decrease during the period 2004-2009. Corn, mango, banana, and coconut were hard hit due to unfavorable weather. Abaca was the only crop that sustained high levels of productivity comparable to the other regions in the country.

Table 4.3. Production of Major Crops, in metric tons, 2004-2009 Crops Corn Banana Mango Durian Watermelon Calamansi Coconut Coffee Abaca Oil Palm Rubber

2004

2005

2006

95,260 205,039 13,775 1,153 2,556 4,583 955,382 4,312 4,843 285,437 16,888

98,595 208,432 14,583 643 2,695 4,800 973,115 3,850 5,578 281,499 16,604

86,434 213,155 15,955 890 2,710 4,787 995,136 3,119 5,674 292,296 14,757

2007 126,037 222,703 16,845 1,042 2,919 4,896 1,010,275 3,115 5,835 309,674 15,420

2008 99,916 219,635 17,230 1,105 5,202 1,011,096 3,147 6,084 343,731 15,540

2009 88,591 209,399 15,403 1,340 4,994 985,426 2,619 6,861 350,474 14,686

Source: BAS.

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Among the regions in Mindanao, Caraga had been posting the lowest in corn production since 2004. Region X recorded the highest production followed by Region XII. Just like rice, corn production had been unstable since 2008 due to unfavorable weather condition and external factors although there was an increase of about 40,000 MT in 2007 from the 2006 figure. This, however, was not sustained in the succeeding years until 2009. The drop was attributed to decrease in production of white corn and reduction of area planted to corn. The average yield of 2.24 MT per hectare for corn was far below compared to other regions in Mindanao.

In terms of root crops production, the region made no significant improvement in 2004-2009 period. The region’s production hardly met the region’s needs. However, cassava production showed an increasing trend as some farmers entered into an agreement with two private organizations and the Philippine Root Crop Research and Training Center of Visayas State University to boost cassava production in the region.

Despite the region’s great potential as an agricultural basket, farmers have started to decrease their areas planted to the traditional crops like rice, corn, and vegetables and fruits and instead are planting their land to the more “safe” plant like oil palm that needs little maintenance.

Declining fishery production Overall fishery production had not been stable since 2004 (Table 4.4). All the commercial, municipal, and aquaculture fishing recorded fluctuating production trends for the period 2004-2009. A 6.75 percent reduction of fishery production was recorded in 2009 over the 2008 figure. Surigao del Sur topped in commercial fishing while Surigao del Norte bested in municipal fishing. Caraga fishery production other than commercial fishing has been at par with other regions in Mindanao.

Table 4.4. Fishery Production, in metric tons, 2004-2009 2004

2005

2006

Commercial Municipal Aquaculture

Sector

4,684 64,978 24,334

6,049 67,569 20,582

6,339 67,380 24,550

2007 6,933 75,945 26,176

2008 7,215 76,888 27,058

2009 6,676 70,380 26,599

Total

93,996

94,200

98,269

109,054

111,161

103,655

Source: DA-BFAR.

B. Deficient livestock and poultry production Table 4.5. Livestock and Poultry Production, in metric tons, 2004-2009 Livestock Carabao Cattle Hog Goat Chicken Duck Chicken eggs Duck eggs

2004

2005

2006

2007

2008

2009

3,644 1,482 59,251 1,676 15,310 1,360 2,694 1,398

3,633 1,445 57,202 1,694 15,446 1,223 2,580 1,235

3,651 1,426 58,206 1,761 14,922 1,105 2,380 1,021

4,354 1,387 59,353 1,733 15,281 839 2,986 911

4,508 1,310 54,219 1,599 13,787 352 2,720 488

4,169 1,224 50,829 1,565 11,454 323 2,268 473

Source: DA.

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The livestock and poultry production also declined in 2009 (Table 4.5). The animal population also suffered drops in production: carabao dropped by 7.5 percent; hog by 6 percent in 2009 over the 2008 figure; while other animal production also slightly decreased.

It was inevitable that the region did not realize its goal to be sufficient in meat production for the period. In relation to other Mindanao regions, Caraga’s overall production in livestock and poultry were far behind. Regions X and XI posted the highest production for livestock and poultry.

The low productivity of the subsector can be attributed to the absence of large livestock growers in the region, thus affecting a sustainable supply of quality stock. Consequently, the area suitable for commercial scale livestock industry did not develop as planned: of the potential area for development of 92,459 hectares for livestock industry only a pitiful 2,673 hectares were developed. The resulting low output of this subsector should not come as a surprise.

Swine and poultry production had been categorized as small productions. The challenge for the region is to attract investors to venture in the livestock and poultry industry for the next six years.

C. Rural Development Rural development did not show any significant improvement for the past six years as evidenced by the decrease of the agriculture, fishery, and forestry (AFF) sector to the region’s economy. Considered as the consistent top contributor to sectoral shares, the performance of AFF in 2009 did provide a dint to sustain its level. In 20082009, the AFF sector’s contribution to the region’s output was slightly lower than the industry and services.

In terms of job generation, the sector had consistently been employing a considerable number in the agriculture and fisheries sector. The growth of rural-based organizations (RBOs) was a manifestation of community’s growing concern to participate in improving the sector. Yet, their efforts were not maximized due partly to inadequate financing, low technology, and little access to other services.

Farm diversification has not been attractive to the sector as proven by low productivity and income of farmers. The slow adoption to newer technology proved to be one of the hindering factors of improving the sector’s productivity.

Farmers tend to resort to traditional/outmoded practices rather than adopt newer and proven technologies.

The sector, however, has consistently been the biggest employment generator as shown by the significant number of persons employed in the AFF. Underdeveloped/undeveloped land for agribusiness Agribusiness has not been attractive for the past six years as shown by the slow development of agricultural lands. Although there was an observed increase in area developed for agriculture, this was not sustained in the last three years as clearly explained by the decreasing area planted and area harvested to agricultural crops.

The Fiber Industry Development Authority (FIDA) Caraga Region contributed a modest increase in land developed for agribusiness with a total 9,740 hectares for abaca production in 2004-2009. Although this figure is still below its 11,500 target or a deficit of 1,760 hectares, abaca has, among crops raised, and continuously sustained its increasing productivity.

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The Department of Agrarian Reform, on the other hand, was able to distribute an aggregate area of 30,972 hectares since 2004. Yet, the development of these resources was comparatively slow due to minimal production support and limited access to low-interest financing assistance.

The region has still significant agricultural lands that are not fully maximized. With enough financing, these valuable resources of production may impact considerably to the growth of the agriculture sector.

Slow adoption of technology in modernizing agriculture The low productivity of the agriculture and fishery sector for the past six years had been primarily attributed to the slow implementation of the sector’s modernization programs, slow advocacy and adoption of matured technology/ strategy like diversified farming systems, and poor access to market information. Those who desperately clung to old practices and unwilling to try other systems and methods despite the fact that the new systems had been scientifically proven had resulted in low production and low incomes.

The introduction of system on rice intensification or SRI technology popularized by former NIA irrigation manager, Bong Salazar, an engineer, that produced an average of more than seven MT per hectare has not been widely welcomed by the farming communities. The adoption of the technology would have translated to an increase in income of more than 134 percent compared to other practices. Advocacy and proper information for the adoption of the system should be strengthened.

In the fishery subsector, the Bureau of Fisheries and Aquatic Resources maintains the Caraga Fisheries Research and Development Center to enhance the fishery sector’s productivity. Aside from the support in the field of researches, the center had enticed fishermen to venture in seaweed production, a lucrative business field. The Center also assists people in the seaweed industry cluster.

In the promotion of technology for fishery production, demo farms were established to showcase the matured technology that can elevate productivity. Mariculture technology provides opportunity for all fishing communities to improve the productivity of their fishery products.

Notable of this was the significant gain of weight when compared with the traditional practices. In response for its adoptability, the BFAR facilitated the establishment of three mariculture parks in 2008.

Inadequate production and post-harvest facilities also contributed to the low productivity and low income of the sector. In 2009, the DA gave out a total of 166 MPDPs and 93 mechanical flatbed dryers but these equipment were not fully maximized as some farmers were still dependent on their traditional practices. The limited consolidation and marketing centers in the region caused the early disposal of agricultural products at lower prices. About 33 marketing centers were established throughout the region. Relative to the vast agricultural area and varied products, these facilities could not cope.

In modernizing the sector, the DA-RFU 13 facilitated the setting up of almost 300 demonstration farms in strategic areas, constructed 22 drip irrigation facilities, provided tramlines that transmitted goods from the mountains, and procured farm tractors to fast track land preparation activities. Despite the said support to the sector, productivity still declined.

Minimal participation of rural-based organizations The delivery and provision of services could have been sustained through the mobilization of existing rural-based organizations (RBOs). The RBOs included farmers’ organizations, irrigators associations, rural improvement clubs, young farmers or the 4-H clubs, industrial tree growers, and significant numbers of cooperatives and these played a significant role in rural development. Various services related to agriculture and rural development could best be delivered and provided by these groups.

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In 2007, more than 1,000 active cooperatives with various levels of services had been operational in the region.

With a total membership of 129,006, they could have been potential channels for rural development.

These groups, however, were not fully mainstreamed in the various development processes like planning, implementation, monitoring, evaluation, and more so in decision-making. Their participation to rural development had been limited to mere attendance in meetings and forum. The lack of foresight or appreciation in using such a large force only led to the lackadaisical performance of a vital sector.

Limited financing support for rural development In 2009, more than 50 NGOs were operating in the region. Although NGOs, theoretically, are a big boost in rural development because of their expertise, most of the NGOs in Caraga had limited services or financial capability to really make a difference.

Financing services of these NGOs were often categorized under farm and non-farm activities. As observed, allocation for farm production and other related activities were smaller than the non-farm activities.

Although there were financial assistance offered by institutions both from government and private like LandBank of the Philippines (LBP), QUEDANCOR, and rural banks, only a few availed of these due to stringent requirements and high interest rates.

II. STRATEGIC FRAMEWORK Low productivity of the AFF should be contained in the next six years. The average yield of major crops like rice, corn, and others should be improved to address the increasing growth of the population. The improvement in the productivity of the sector may translate in the increase in income of the farming households thus improving their quality of life. To attain this, the region must strive for the implementation of the identified strategies and the corresponding support programs, projects, and activities for the sector. Infrastructure support like farm-to-market roads and irrigation projects should be conscientiously set up so that majority, if not all, would benefit.

Extensive participation of the community should be encouraged, ensured, and implemented by mobilizing all existing rural-based organizations. Policy of gain sharing should be thoroughly re-studied and adapted by big plantation companies to boost the dignity of the workers thereby increasing the productivity of the company.

Delivery and procurement of production and post harvest facilities should be governed by choices of end-users to maximize the use of these facilities. Financial assistance extended by financing institutions should be readily available without collateral and low interest rates. Local government units (LGUs) should give priority to developing the agriculture sector by increasing the budget for rural development.

Along this line, it is imperative for the region to define strategies that would improve the participation of the private sector to mobilize their capital geared towards rural development. It goes without saying that since majority of the poor and vulnerable groups are in the agriculture sector, the development of this sector would have a great impact not only to impoverished sector but would lift the region among the most productive in the country.

A. Food Security Crops Objective By the end of the planning period, this sector should have increased productivity and income in the agriculture sector

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Targets 1. To increase palay production from 429,359 metric ton in 2009 to 674,224 metric ton in 2016 (Table 4.6, Production Target of Palay) or at the minimum to reach the sufficiency level of 603,858 metric tons by 2016 2. To increase productivity of other crops by 10 percent by 2016 3. To increase annually the region’s irrigated lands by 2 percent from the 2009 figure 4. To increase the lands developed for cereals production by 3 percent annually in 2010-2012 and by 7 percent annually in 2013-2016 from the 2009 level 5. To increase farmers income by 5 percent in 2010-2012 and by 10 percent in 2013-2016 from the 2009 level 6. To expand by 10 percent post harvest facilities for rice, corn, coconut, and other high value crops until 2016 7. To adopt one matured technology for agriculture and fisheries annually 8. To have a 10 percent growth of marketing/bagsakan centers until 2016 9. To have 100 percent improved access to agricultural services for all active rural-based organizations Table 4.6 Production Target for Palay Year 2011 2012 2013 2014 2015 2016

Production (mt) 472,592 523,637 587,838 616,426 646,082 674,224

Area Harvested (has) 141,652 146,807 154,712 158,122 162,014 166,052

Yield (mt) 3.34 3.57 3.80 3.90 3.99 4.06

Source: DA Caraga

Strategies and Policies 1. Review the Strategic Agriculture and Fishery Development Zones (SAFDZs) – the SAFDZ is one strategy identified under the Agricultural and Fisheries Modernization Act or AFMA. The DA, in coordination with various government agencies and local government units, facilitated the preparation of the SAFDZ maps. Since its completion in early 2000, there had been no attempt to review or assess the SAFDZ as a critical tool in the agricultural and fishery modernization program of government. The review may provide a venue for redefining the SAFDZ vis-à-vis current trend and development.

2. Enhance the provision of farm-to-market roads – as one factor to improve productivity, identified production areas should be provided with appropriate farm-to-market roads to facilitate the easy transport of agricultural goods to the market and farm inputs to the production areas. This would significantly reduce time spent in transporting goods to the market, thus the time saved can be translated to other economic activities.

3. Prioritize the rehabilitation and implementation of major irrigation projects – reduction in area harvested was observed in the past three years. One major cause was the inadequate supply of water for irrigation. A number of irrigation systems could not fully provide irrigation water because these needed repair. These should be accorded highest priority and repaired at the soonest possible time.

4. Expand mode in the provision of water for irrigation. – drip irrigation efficiently waters crops and water loss is minimized. This method directly waters each hill or plant and is designed to areas with limited supply of water. Since the adoption of drip irrigation requires big investment, it should be utilized more in the production of high value commercial crops. The development of water impounding projects, small farm reservoirs, or diversion dams should be sustained.

5. Improve access to low-interest agricultural assistance to cooperatives – small farmers are wary and avoid borrowing from financial institutions because of high interest rates and voluminous paper work. Government and private financial institutions must get their act together in a scheme that will make it easier for farmers to get their loans at lower rates and at no collateral.

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6. Intensify information on where and how to get new farming technologies – a lot of farming technologies are now available but because of lack of information, these technologies have not been tried simply because farmers do not know these exist. A vigorous information and education campaign should be launched to reach all involved in food production and give them the needed information on what these technologies are and where and how to get them.

7. Improve technical and extension services to farming communities – farmers need to be informed regularly on the various development related to agriculture.

8. Improve access to market support. One important aspect to improve agricultural productivity is the appropriate provision of market support. Information on the price of major crops, source of available inputs and bagsakan centers is one factor that should be given focused.

9. Promote PPP to boost production of agricultural crops and for the provision of appropriate infra-support facilities –this is one area that gives opportunity to the private sector in partnering with government to boost agricultural productivity and in the implementation of infrastructure or support facilities in improving agricultural productivity. Through PPP, the construction of needed warehouses or storage centers would be reality.

10. Augment capacity of farmers to adopt diversified farming – this includes skills training of rural-based organizations to facilitate adoption of new technology.

11. Promote organic rice farming – planting organic rice has been increasing for the past six years as shown by the growing number of farmers engaged in producing organic rice. A health-conscious society is clamoring for organic rice, not only is organic rice good for the body but also its shelf life is longer. The price of organic rice is much higher compared to that of upgraded rice varieties.

12. Strengthen R & D to further improve productivity – this would require increased investment for the introduction of new technologies including the setting up of demonstration farms to showcase the productivity level of the technology introduced.

13. Strengthen support to industry clusters – the region created various clusters for agricultural products and manufactured goods. High value commercial crops, abaca, and banana are agricultural commodities with increasing demands. There must be focused development of the clusters to hasten the development of vast agricultural lands.

14. Increase the resilience of agriculture communities – there is no denying that climate change is upon us and this warrants a resilient and creative attitude towards the adoption of strategies in agriculture. Climate-change sensitive technologies must be developed, climate-change-proof agriculture infrastructure must be constructed, climate-responsive food production systems must be set up, and support services to the most vulnerable communities must be anchored to the institutions ready to be used in emergencies to cushion the effects of changes in climate.

15. Strengthen the agriculture insurance system as risks increase due to climate change – government should implement weather-based insurance systems to provide support mechanism for the most vulnerable small farming communities. As recent events have shown, disasters totally devastated agricultural lands that left farmers totally defenseless. As the most affected by floods and drought, an insurance system would definitely help small farmers.

16. Development of an LGU-led rice production strategic plan - a locally crafted strategic rice sufficiency plan strengthens the LGU’s role in developing their potential areas for rice productivity in coordination with the national government partners for rural development.

Programs, Projects, and Activities 1. Support to Emergency and Livelihood Assistance Program (SELAP) 2. Agri-Pinoy Program 3. Mindanao Rural Development Program 4. Caraga Integrated Development Program 5. Agrarian Reform Infrastructure Support Project

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Fishery Objective With the abundant and rich open seas abutting Caraga, there is no reason why productivity and income of the fishery subsector should not increase during the planning years 2011-2016.

Targets 1. To increase the overall fishery production by 10 percent in 2010-2012 and by 15 percent in 20132016 from the 2009 level 2. To increase municipal fishing by 10 percent in 2010-2012 and by 15 percent in 2013-2016 from the 2009 level 3. To increase aquaculture production by 10 percent in 2010-2012 and by 15 percent in 2013-2016 from the 2009 level 4. To increase seaweed production by 25 percent by 2016 5. To increase fisherfolks income by 5 percent in 2010-2012 and by 10 percent in 2013-2016 6. To expand post harvest facilities for fishery by 25 percent in 2016 7. To adopt one matured technology for fisheries annually 8. To have 100 percent of FARMCs and fisherfolks improved access to fishery services Strategies and Policies 1. Ensure establishment of fish sanctuaries – there must be appropriate and selected areas meant for fish breeding and shelter. The establishment of fish sanctuaries will substantially improve fish catch and ensure a sustainable supply of fish population.

2. Make sure that fishery laws are enforced – national fishery laws and local ordinances exist to ensure that fishery resources are appropriately managed to provide adequate supply of fish. But, these laws and ordinances should be strictly enforced to support the thrust of food security and protect fisherfolks.

3. Strengthen advocacy for aquaculture to attract more investors – the region has vast undeveloped areas for aquaculture production. The development of these areas can be facilitated and hastened through strong promotion and advocacy to potential investors.

4. Give utmost priority in advocating for the maximum use of existing fishpond areas – maximized use of fishponds will save mangroves from being converted to fishponds. Mangroves, instead, should be reforested.

5. Enforce the integrated coastal resource management – integrated coastal resource management has been identified as one of the major strategies that can promote sustainable development of the fishery resources. This entails appropriate measures like increasing productivity of fish, build the capacity of the fishing community to augment their income from non-fishing activities, and teach entrepreneurial skills to coastal communities to minimize the pressure and dependence on the coastal resources.

6. Increase investment for R & D to improve growth of fishery subsector – improved fishery productivity is associated with appropriate research and development. To ensure continuous R&D activities that will improve growth of the fishery subsector, investment and support should be given priority by the government.

7. Encourage the putting up of a fish port and fish processing facilities in strategic areas of the region – the presence of a fish port and fish processing related facilities gives confidence to potential investors to engage in fishing business in the region. It likewise improves productivity as fishers become more enthusiastic to go fishing as they are already assured of the services offered by the facilities.

8. Improve the climate change resilience of the fishery sector – this can be realized through the restoration of fishing grounds, stocks and habitats; there should also be, on hand, sustainable and climate-change responsive fishing technologies and products.

9. Expansion of fisheries insurance system as an important risk sharing mechanism – with climate change now a reality, the insurance being offered in the fishery sector, should include climatechange related risk.

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Programs, Projects, and Activities 1. Integrated Coastal Resource Management Program 2. Establishment of Multi-Species Hatchery 3. Establishment/Rehabilitation of Marine Sanctuaries 4. Alternative Livelihood Development Program 5. Caraga Integrated Development Program 6. Establishment of a Tuna Processing Facility 7. Capacity Building and Skills Development Program for farmers and fisherfolks Livestock and Poultry Objectives a. Improved growth of quality livestock and poultry b. Increased income of livestock/poultry growers Targets 1. To increase livestock and poultry by 10 percent in 2010-2012 and by 15 percent in 2013-2016 from the 2009 level 2. To develop more lands for livestock and poultry by 5 percent in 2010-2012 and by 10 percent in 2013-2016 from the 2009 level 3. To increase the income of livestock/poultry growers by 10 percent in 2010-2012 and by 15 percent in 2013-2016 from the 2009 level 4. To enlarge the availability of quality stock of large animals by 25 percent in 2016 5. To reduce the meat sufficiency gap by 50 percent in 2016 6. To have 100 percent active rural-based organizations and improved access to livestock/poultry services Strategies and Policies 1. Encourage private sector to venture in commercial livestock farming – define and promote suitable areas for commercial livestock raising to attract would-be livestock growers to invest in the region. The LGU should give the appropriate incentives should to potential investors.

2. Enhance promotion through techno demo farms – create a demo farm in a strategic area that would showcase the matured technology in improving livestock and poultry productivity.

3. Improve quality stock of animals – quality stock is associated with good quality meat and can command reasonable price.

4. Increase number of breeder-based livestock – increasing the number of breeder-based livestock should address the deficiency of supply of animals for rearing. The increase in number will ensure adequate and readily available supply of quality stock for growing and fattening.

5. Strengthen networking among industry players – institutionalize proper networking among key players so that there is sharing of information regarding market, quality of stock, and technology.

Clustering is one strategy that can be adopted.

6. Maximize infra support of potential areas for livestock and poultry – Caraga experienced the slow development of areas suitable for livestock and poultry raising due to lack of infrastructure support, e.g., road access, power, and available water. Government must prioritize the building of appropriate infrastructure to promote development of these potential areas for farm animal breeding.

7. Improve provincial stock farm facilities – the presence of provincial stock farms will encourage farmers/small growers to raise farm animals as they are assured of available quality stocks for fattening and growing.

8. Increase incentives to interested livestock investors – giving adequate incentives may attract potential investors to engage in livestock and poultry production. Incentives like tax holidays may offset the increasing price of feeds and other supplements.

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9. Ensure support from the LGUs and concerned national line agencies – continuing support from the local government units and national line agencies generates confidence to potential investors.

10. Provide appropriate mechanism for farmers and fisherfolks to participate in the process and enjoy the fruit of development –organizing the most vulnerable group of the agriculture calls for their empowerment to assure quality contribution in the development process.

Programs, Projects, and Activities 1. Breeder-based Livestock Dispersal Program 2. Capability Building for Commercial Livestock Farming 3. Agri-Pinoy Program 4. Support to Emergency and Livelihood Assistance Program 5. Caraga Integrated Development Program

B. Rural Development Land for Agribusiness Objective Considering the vast areas for development in the region, the goal is to enlarge the size of land for agribusiness and not decrease it.

Targets 1. To increase irrigated lands annually by 5 percent from the 2009 figure 2. To increase lands devoted for cereals production by 10 percent in 2010-2012 and by 15 percent in 2013-2016 from the 2009 level 3. To expand lands developed for other major crops by 10 percent from 2009 level 4. To achieve 100 percent accomplishment yearly land distribution targets under CARP 5. To develop 50 percent of 2009 distributed lands under CARP Strategies 1. Enhance implementation of priority irrigation projects – government should prioritize the building of irrigation facilities to assure increase in areas for rice farming. This should encourage the development of new areas for rice and corn production.

2. Improve development of agricultural land for other major crops – develop idle but potential areas for crops production to support food and feed requirements of the region. Banana, abaca, coconut, vegetables, and orchard development can still be accommodated, as considerable hectares of suitable land are undeveloped. The region should launch a vigorous information drive via internet and traditional media to promote these rich undeveloped area to potential investors here and abroad.

3. Provide appropriate support services to CARP and its beneficiaries to hasten rural development – significant hectares of land had been distributed to beneficiaries under the Comprehensive Agrarian Reform Program (CARP). These areas are experiencing low development due to inadequate financing support and inadequate management knowhow. These areas should be given appropriate support like irrigation, production inputs, technology, and extension services.

Programs, Projects, and Activities 1. Comprehensive Agrarian Reform Program 2. Priority Irrigation Projects 3. Caraga Integrated Development Program 4. Production Assistance and Support Facility

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Chapter 4 | Caraga Regional Development Plan, 2011-2016

Adoption of Technology Objective By the end of the planning period, the income of farmers that have adopted new technologies should have improved Targets 1.

2.

3.

4.

5.

To establish two demo farms annually To increase yield of crops using the technology by 15-20 percent To have 100 percent RBOs adopt the technology after training To increase support inputs by 50 percent from 2009 level To increase income by 15-20 percent from 2009 level

Strategies 1. Establish demonstration farms in strategic areas – farmers should adopt a technology that will help increase crop production. Demo farms will enhance the adoption and promotion of matured technology to improve agricultural productivity.

2. Launch an energetic and sustained training module that would teach farmers how to use new technologies effectively – one major concern of farmers is how to apply and implement the technology being promoted. Farmers should be taught and informed before the adoption of such technology.

Programs, Projects, and Activities 1. Caraga Integrated Development Program 2. Enhancement Training Program for Rural-Based Organizations 3. Agri-Pinoy Program 4. Abaca Development Program Rural-Based Organizations (RBOs) Objective With a total membership of 129,006 in rural-based organizations, they should be mainstreamed in all levels of development – from planning to decision-making – and they should be made aware about their potentials in playing a major role in development.

Targets 1. To organize 20 new RBOs within 2010-2016 2. To ensure 100 percent participation of RBOs in planning, implementation, monitoring, and evaluation 3. To get 100 percent of relevant support services accessed by RBOs 4. To expand capitalization of all RBOs by 20-30 percent by 2016 Strategies 1. Facilitate organizations of farmers/fisherfolks, women, IPs, and youth into associations or cooperatives – participation of communities in rural development could be maximized if they are formally organized. The associations or cooperatives should find strength and inspiration from one another knowing their common needs and wants. As a cooperative, they could easily influence implementers to address their concerns. Rural-based organizations are appropriate channels for rural development, thus organizing them should be given utmost consideration.

2. Strengthen network with rural development partners – rural organizations such as cooperatives could contribute in enhancing rural development and poverty reduction. Success stories should be disseminated which could serve as inspirations to struggling coops. The coops have been and still are government’s active partners in development both at the national and local levels.

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3. Mainstream RBO plans to agency/LGU sectoral plans – to ensure the implementation of priorities for rural development, activities of the RBOs should be linked to the priorities of the agency or the LGU. Consistency of priorities can be achieved if the RBOs’ participation in the planning process is extensive.

4. Establish agricultural and marketing information support services center in every barangay – information should be easily obtained to every Filipino. In the rural areas, a marketing and information center that contains updated data should be established in every barangay. Relevant information will make it easier for RBOs to plan and program activities, as well as increase their knowledge in new technologies.

5. Package proposals to enhance access to financing institutions – assist RBOs to package their proposals; this would facilitate access to financial institutions/loans.

6. Sustain farmers field level school and school on the air program – this is one methodology that increases the learning and adoption of technology. Broadcast media is still the most effective means to impart information and updates. Sustaining this effort requires adequate support and financing from the concerned agency and LGUs. Programs, Projects, and Activities 1. Caraga Integrated Development Program 2. RBOs Enhancement Training Program 3. Production Inputs Assistance 4. Agri-Pinoy 5. Mindanao Rural Development Program 6. School on the Air Program 7. Agro-industrial Fairs

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Chapter 4 | Caraga Regional Development Plan, 2011-2016

Financing for Rural Development Objective By the end of the planning period, financial assistance for rural development should have increased.

Targets 1. To increase income and capitalization of all RBOs by 20-30 percent by 2016 2. To increase availment of production assistance extended by QUEDANCOR and LBP by 25 percent annually Strategies 1. Facilitate expansion of training to RBOs for non-farm activities – introduction of entrepreneurial skills training for RBOs will prepare them to participate in other alternative sources of livelihood.

Farming activities are usually undertaken in the morning and the rest of the day may be used to other alternative activities.

2. Upgrade assistance by decreasing interest rates – financing institutions will experience significant growth if they lower their interest rates. This presumes of course that RBOs could easily apply for loans.

3. Intensify the promotion and information for all assistance received for rural development to encourage more support – information and education campaign is one form to enhance the participation of communities for rural development. It is also a medium to generate support in the implementation of projects at the community level. IEC can be strengthened through appropriate channel, the RBOs. 4. Extend assistance in packaging proposals – to get assurance of financial assistance from financing institutions, RBOs should be assisted in packaging project proposals usually required by financing institutions.

5. Use capital of existing cooperatives – some cooperatives can easily implement small projects because they have large capital. The government may encourage these groups to participate in the community development and poverty alleviation through implementation of priority projects.

6. Strengthen networking and adopt the “Big Brother” approach – support to rural development could be derived through networking with other big organizations or cooperatives. Matured and financially capable organizations should help small organizations by adopting a small project. RBOs should establish good networking with plantation companies operating in the locality to avail any assistance as part of the company’s social responsibility.

Programs, Projects, and Activities 1. Caraga Integrated Development Program 2. Livelihood and Skills Development Program 3. Production Inputs Assistance 4. Agri-Pinoy 5. Mindanao Rural Development Program 6. Agro-industrial Fairs

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Chapter 5 : Infrastructure Support I. ASSESSMENT AND CHALLENGES Overall Assessment

Ever since the birth of Caraga region, basic infrastructures were continuously being developed to meet the economic and social needs of its people. Still, the infrastructure requirements of the region remain large, including those that provide vital links to agriculture, industries, and major tourism areas. The deficiencies are very pronounced in the sub-sectors of energy, transportation, communications, water resources, and social infrastructure facilities. Compared to its neighboring regions, most performance indicators generally show the infrastructure in Caraga to be below standard.

Although the perennial problem of meager resources plagued the infrastructure program, there were certain factors beyond control like the weather that continued to delay the completion of projects in the region. Still, notable accomplishments were achieved.

The transportation sector continued its goal of ensuring access to growth and to the flow of goods and services across the region. This movement had increased road density from 0.42 km. per sq. km. of land area in 2003 to 0.44 in 2009. The paved road ratio increased from 14.31 percent in 2003 to 17 percent in 2009. This surge in improvement is attributable to the excessive secondary road improvements in Surigao-Davao Coastal Road and the new local road construction such as farm-to-market roads under various programs of the Department of Agriculture, Department of Agrarian Reform, KALAHI Kalayaan Projects, Kalayaan Barangay Projects, Growth with Equity in Mindanao, and local-government-initiated-road development projects.

The continuing liberalization and development of the telecommunications sector has given the industry a big boost, increasing the demand and competition particularly from multinational companies. Privatizations and deregulations have created widespread competition, technology has brought mobile communications, and the Internet has revolutionized how business operates. All these steep increase in investments raised the number of service providers and users and improved access to telephone services and other modes of communication.

Wireless communication, which emerged as a significant consumer service, has now grown to such an extent that all major urban areas and municipalities in the region have at least one cell site for Globe and Smart. Other service providers such as Sun in mobile telephone service, and Dream and Cignal for the wireless cable service, are getting their significant share of the market.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

In the power sector, all municipalities and 97 percent of all barangays within the region had been energized, and power demand increased to 137.41 megawatts. The then National Transmission Corporation (TransCo) which was transformed into privately-owned National Grid Corporation of the Philippines (NGCP), completed the 50 MVA San Francisco, Agusan del Sur substation projects in Caraga to meet the region’s growing power demand for the near- to medium-term.

Until recently, the promotion of new and renewable energy (NRE) in the region was pursued in the context of attaining energy self-sufficiency. Such perspective has changed in light of the pressing need to provide power to some unenergized barangays. NRE has become a strategic instrument to attain the goal of rural electrification.

Meanwhile, the water sector performed well with respect to irrigation, water supply, and flood control. Irrigated area increased to 31 percent while safe water supply coverage now reached 85 percent with 32 percent and 27 percent of all households now enjoying Level III and Level II water system, respectively.

A. Transport Infrastructure There are a number of modes of transport in Caraga: land, coastal shipping, and air transport. Transport has recorded a substantial growth over the years both in spread of network and in output of the system.

A. Land transportation Out of the total road length of 8,556.899 kilometers (Table 5.1), national roads and local roads constituted 15 percent and 85 percent, respectively. Although national highways constitute only 15 percent of the total road network, these carried the bulk of total road traffic.

The region’s road network has grown from 7,515.59 kilometers in 1997 to about 8,556.899 kilometers by the end of 2009, of which 17 percent are paved and about 82 percent are considered to be of all-weather standards. In terms of paved road coverage and service performance as measured by road densities, the region has 0.44 kilometers of road per square kilometer of land area but this does not compare well with the 0.59 road density of the country.

National roads The national roads paved with concrete and asphalt accounted for 58 percent of the total national road. Majority of unpaved segments could be seen where most timber and bailey bridges are concentrated and these could be found along Dinagat Islands National Road Network, Siargao Island Circumferential Road, Agusan del Sur Circumferential Road, and road sections that link to the Surigao-Davao Coastal Road.

The development of a highway network in the region is one of the major national programs where public funds had been poured to support and beef up the overall socio-economic development of the country. The land-based transportation will remain to be the dominant mode of movement between and among the trading and production areas within the region as well as with the regional growth centers in Mindanao Island.

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The conditions of the arterial roads connecting Caraga to Davao City and Cagayan de Oro had been upgraded, including the network of pavement cracks from San Francisco, Agusan del Sur to the boundary of Caraga and Northern Mindanao regions. The secondary roads that link the Pacific-front coastal communities of Surigao City, Surigao del Norte, and Surigao del Sur of Caraga Region and Davao Oriental of Region XI had been generally improved to international standards through funding by the government and partly by the World Bank International Bank for Rural Development (WB-IBRD).

Circumferential road links such as the Siargao Island Circumferential Road, Lake Mainit Circumferential Road, and the Agusan del Sur Circumferential Road linking Prosperidad-Talacogon-La Paz-Loreto-Veruela-Sta. JosefaCuevas, Trento and the Butuan City-Las Nieves-Esperanza-Bayugan Road are all ongoing projects. Part of the lateral road links such as Butuan City-Malaybalay Road in Esperanza, Agusan del Sur section was completed while the widening to the desired width and length of the road is still ongoing. Agusan del Norte-Surigao del Norte Coastal Road that will connect Jabonga, Agusan del Norte to Malimono of Surigao del Norte will be pursued as well as the re-opening of the Bayugan-Calaitan-San Miguel-Tandag Road of Agusan del Sur and Surigao del Sur provinces. This vital road artery, when completed, will not only reduce the travel time and vehicle maintenance but will increase the shelf life of agricultural and marine products that is abundant in these areas.

The poor performance of the local governments in road and other infrastructure facility maintenance of turned over project posed a threat in productivity of the farmers and the general road/facility user as it impacts to the rise in the cost of production and the increase in the cost of vehicle maintenance.

Table 5.1. Road Density and Road Length, by Type, by Province, Caraga Region, CY 2009 (Density in km/sq km; length in kms) PROVINCES ADN -National -Local Butuan City

LAND AREA (sq. km) 2,216.45

667.93

-National -Local ADS

8,297.19

SDN

2,278.28

PDI

802.05

SDS

5,560.34

-National -Local -National -Local -National -Local -National -Local Subtotal -National -Local TOTAL

19,138.42

PAVED Concrete 125.002 66.548 58.454 102.774

ROADS (kilometer) UNPAVED Asphalt Gravel 37.962 849.458 37.672 24.496 0.290 825.062 18.989 282.151

TOTAL 1,012.522 128.716 883.806 414.914

35.423 77.351 262.031 174.801 87.230 445.555 173.777 272.778 15.766 10.732

18.989 41.006 41.006 15.316 15.316 -

35.692 247.459 2,467.858 182.438 2,285.420 1,138.479 93.603 1,145.876 415.202 94.857

90.104 324.810 2,770.895 398.245 2,372.650 1,701.350 282.696 1,418.654 430.968 105.589

5.034 372.648 232.306 140.342

-

320.345 1,843.612 130.156 1,713.456

325.379 2,218.250 362.462 1,855.798

693.587 651.199

112.983 0.290

561.242 6,537.598

1,367.812 7,189.087

1,344.786

113.273

7,098.840

8,556.899

ROAD DENSITY (km/sqkm) 0.45

Sources: Department of Public Works and Highways-Caraga, Department of Agriculture, RFU 13, Department of Agrarian Reform and respective Local Government Units.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

PAVED RATIO, % 16

0.62

29

0.33

10

0.74

27

0.53

3

0.40

16

0.44

17

Bridges Caraga has 447 national bridges with a total length of 16.15 kilometers. A total of 255 reinforced concrete deck girder bridges (RCDG) and 39 steel bridges made for a combined length of 13.69 kilometers of permanent bridge structures. The number of national bridges of permanent type jumped to 85 percent in 2009 from 68 percent in year 2007. While all national bridges in Butuan City, Surigao City and the province of Agusan del Norte are considered permanent, a large percentage of temporary bridge structures (timber and bailey) still exist in the provinces of Surigao del Sur and Dinagat Islands (Table 5.2).

Table 5.2 Inventory of National Bridges, by Province, Caraga Region, 2009 Bridge Length by Type (in meters) Location

No. of Bridges

Permanent Concrete

Agusan del Norte Agusan del Sur Surigao del Norte Prov. of Dinagat Is. Surigao del Sur

No.

Steel

Total Length, M

Temporary No.

Timber

No

Bailey

No.

37

1,094.14

31

603.09

6

-

-

-

-

1,697.23

93

2,470.70

70

1,013.68

16

70.80

5

35.30

2

3,590.48

63

2,759.92

52

132.13

5

6.6

1

72.80

5

2,971.45

70

45.96

3

100.68

4

571.28

47

193.85

16

911.77

162

3,620.41

79

496.37

6

-

1,497.83

77

5,614.61

Butuan City

22

1,218.38

20

142.45

2

-

1,360.83

TOTAL (National)

447

11,209.51

255

2,488.40

39

1,799.78

100

16,146.37

13,697.91

294

2,448.18

153

Permanent

-

648.68 Temporary

53

-

Source: Department of Public Works and Highways-Caraga.

During the plan period, concerted efforts should be pursued to address the lack of fund to finance the basic transport-related infrastructure projects as well as improve vital secondary road network for inter-regional linkage with Bukidnon in Region X, Compostela Valley, and Tagum City of Southern Mindanao. Also, the inter-provincial road that will shorten the route and lessen the cost of travel should be given topmost priority in funding and implementation.

Air transportation The airport system of Caraga is not adequate to the needs of the region and is hardly an attractive destination for tourists and for national/international business development. The region has only one trunkline airport located in Bancasi of Butuan City; three secondary airports located in Surigao City, Tandag, and Bislig City; and one feeder port in Siargao Island of Surigao del Norte. Bancasi Airport in Butuan City has three daily flights to Manila via two carriers, namely: the Philippine Airlines and Cebu Pacific Air. There is also the one daily flight on the Cebu CityButuan City route (Table 5.3). In Surigao City, there are two daily flights to Manila and on every Tue-Thu-Sat has its flight schedule to Manila and Cebu cities. Sayak feeder airport in Siargao Island has a flight schedule to Cebu every Monday and Friday. Meanwhile, Bislig and Tandag airports are open to the general and military aviation community.

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Table 5.3. Updated Carrier Flight Schedule, Caraga Region, 2010 Airport

Carrier

Sector

Schedule

Butuan

Philippine Airlines

MNL-BXU

Cebu Pacific Air

Surigao

Air Philippines

Cebu Pacific Air Siargao

Cebu Pacific Air

Timing ETD

ETA

Daily

1050H

1200H

BXU-MLA

Daily

1250H

1430H

MNL-BXU BXU-MLA MNL-BXU BXU-MLA CEB-BXU BXU-CEB MNL-SUG

Daily Daily Daily Daily Daily Daily Daily

735H 935H 1220H 1430H 1320H 1435H 1025H

905H 1100H 1345H 1555H 1405H 1520H 1200H

SUG-MNL

Daily

1230H

1355H

MNL-SUG

Tue-Thu-Sat

625H

800H

SUG-MNL CEB-SUG SUG-CEB MNL-SUG SUG-MNL CEB-IAO IAO-CEB

Tue-Thu-Sat Tue-Thu-Sat Tue-Thu-Sat Tue-Wed-Thu-Sat-Sun Tue-Wed-Thu-Sat-Sun Mon & Fri Mon & Fri

830H 700H 830H 825H 1045H 1040H 1140H

955H 800H 930H 1000H 1220H 1140H 1240H

Source: Civil Aviation Authority of the Philippines.

As to passenger, aircraft, and cargo movement in the region for the six year assessment period 2004-2009, there was a 300 percent increase of air passenger movement in the region that landed in four airports: Butuan, Surigao, Siargao, and Tandag. The bulk of the accounted number of passengers passed through Butuan airport.

From 2004 to 2009, aircraft deployment in the region increased by 75 percent; in 2009 nearly 3,000 aircrafts landed in Caraga airports. Strategic positioning of investments and prospective markets elsewhere might be the underlying reason behind the withdrawal of the Asian Spirit, Seair, and Zest Air from the regional (Caraga) route.

An average of 2,541 tons of cargo per annum were shipped and dispatched in the airports of Butuan, Surigao, and Tandag. The bulk of shipment originated from Butuan City with an average volume of 2,337 tons per annum and made up of agricultural and aquatic products.

The Butuan City and Surigao City airports, which serve as major airports in the region, should not only expand its capacity to accommodate bigger planes such as B737-300 aircrafts, but should also upgrade its airport facilities to permit night time operations. Likewise, there is a need to provide cold storage facilities in its air cargo terminal to address prolonged storage of perishable products.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

Sea transportation The region is endowed with bays, lakes, rivers, several ports (public and privately operated), including the two base ports in Surigao City and Nasipit of Agusan del Norte. Although these public ports are continuously improved and retrofitted by Philippine Port Authorities, the capacity of these ports have already been overstretched with berths over worked, leading to pre-berthing delays and damage to wharf structures. These capacity shortages include that of berthing structure, transit/cargo shed area for non-containerized cargo, container yard for containerized cargo and passenger terminal building area.

There are 64 seaports in the region, broken down into: two base ports, five terminal ports, four sub-terminal ports, 26 municipal ports, and 27 private ports. Base ports, terminal ports, and sub-terminal ports, work under the overall control of the Philippine Ports Authority (PPA). For the planning period 2004-2010, three ports, all in Surigao del Sur, were added to the roster, namely; Lawigan Port of Bislig City, Caramcam Port of Bislig City, and Banahaw Port of Lianga.

In 2009, the total number of domestic and foreign vessels at berth and at anchorage slightly picked up from a slump in 2008 and registered 1,103 at Nasipit Base port and 7,275 at Surigao Base port or a total of 8,112 shipcalls in the region.

Port statistics of 2009 showed that cargo registered 13.81 million metric tons broken down into: two million tons of domestic cargo and 11.8 million tons of foreign cargo, while the total passengers passing through base ports in the region increased to 1,411,458.

B. Digital Infrastructure As new transportation links carried goods and people, new communication links began to put people in instant contact with one another. Since the past 10 years, the developments in the Information and Communications Technology (ICT) sector were driven primarily by the private sector with government providing regulatory backdrop and promotional platform enroute public policy and incentives.

Telecommunications has been undergoing restructuring to increase overall access to telephone service to at least the recommended minimum of 10 mainlines per 1,000 persons. Restructuring telecommunications has involved the private sector in its provision. Private participation began on the basis of investments in the provision of new and cellular mobile telephone services.

Telecommunications The deregulation, liberalization, and modernization of the telecommunication sector have enhanced the region’s access to local and global information. The region has a fully interconnected and operational Local Exchange Carriers (LEC) in Butuan City, Surigao City, and in the municipality of Cabadbaran.

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The existing telephone franchise holders in the region are the following: a) Bayan Telecommunications, b) CruzTelCo, c) PhilCom, d) Telecommunication Office, e) Tandag Electric and Telephone Company (TETCO), f) Trento Telephone System, g) Globe Telecommunications, h) Smart Telecommunications, i) Sun Cellular and j) Philippine Long Distance Telephone (PLDT).

Bayantel, CruzTelCo, PhilCom, and TelOf with a total combined equipped capacity of 44,538 lines are currently servicing 17,484 residential and commercial connections in Butuan City and the province of Agusan del Norte.

In Agusan del Sur, Bayantel, CruzTelCo, PhilCom, TelOf, and Trento Telephone System had a combined total equipped capacity of 20,967 lines currently servicing 3,854 residential and commercial connections.

For the province of Surigao del Norte, TelOf, CruzTelCo and PhilCom had a total equipped capacity of 8,846 lines and are currently servicing 3,808 residential and commercial connections.

Meanwhile, PhilCom, PLDT, and TETCO with a total combined equipped capacity of 7,093 are serving 2,488 residential and commercial connections in Surigao del Sur. Overall, the total equipped capacity in the region sums up to 81,444 lines servicing 21,546 residential and 6,128 commercial subscribed connections.

Cellular mobile telecommunications service (CMTS) providers Wireless communication, which emerged as a significant consumer service in the middle of the decade, has now grown to such an extent that all major urban areas and municipalities in the region has at least one cell site each for Globe and Smart. Globe, Smart, and Sun continue to expand the coverage of its GSM network to include farther and less accessible areas in the region. With a total of 178 cell sites, communication can now be accessed along all major highways (Figure 5.1).

Fig 5.1. Number of Cell Sites per LGU, Caraga Region, 2004 and 2008

Source: NTC

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

Interconnection and universal access Internet service providers (ISPs) rose to five with Bayantel, PLDT myDSL, PhilCom, Smart, and Globe as the key players.

To promote wider public access to telecommunications facilities including the Internet, the Department of Science and Technology (DOST) established multipurpose community telecenters (MCTs) at the community level. One facility was established in Maguinda, Butuan City; another was established by the LGU of Cagwait in Surigao del Sur; and by the Telecommunications Office in Butuan City, Surigao City, Magallanes, and Nasipit in Agusan del Norte; and in Prosperidad and San Francisco in Agusan del Sur. This project, which could be a model to other major community centers and barangays, may be considered a major empowerment tool in order for people to have direct access to basic telecommunication services and to information through the Internet.

However, Dinagat Islands is still struggling to establish an effective communication system and a need for improved signal to access to the Internet.

Public calling offices Through the Municipal Telephone Program, government had put up 76 public calling offices (PCOs) in Agusan del Norte, 49 in Agusan del Sur, 74 in Surigao del Norte, and 28 in Surigao del Sur for a total of 227 PCOs all over Caraga Region.

Business Process Outsourcing (BPO) In 2009, the Business Processing Association of the Philippines (BPAP), Commission on Information and Communications Technology (CICT), and the Department of Trade and Industry (DTI) reported the list of New Wave Cities (NWC). The report details the essential data that investors and other concerned parties need to know about the Business Process Outsourcing (BPO)-friendly cities.

The six (6) cities of Caraga Region were not included in the Top 10 NWCs. The region should make sure that within the medium-term, the cities of Caraga Region should meet the criteria of being BPO-friendly cities since BPO is a booming global industry which improves income, employment, and capacitates the IT graduates of our local universities and colleges.

In summary, it is equally important for the national agencies, local government units , academe, and private sector to unite and address the digital gap that exists between those with access to ICT and those who do not since this gap is further widened as BPO investments focus more on urban areas.

C. Power and Electrification For the past six years, the energy sector in the region had been highly dependent on the existing Northeastern Mindanao Area (NEMA) power grid that supplied its energy requirement.

With the acquisition of power barge no. 117 by a private operator, the region became exposed to a precarious situation in terms of power shortage and impending increase in power cost per kilowatthour.

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Generation Power in the region is largely dependent on the Mindanao power grid that is mainly powered by the Agus-Pulangi Hydroelectric Complex.

Fig 5.2. Power Mix, Mindanao Power Grid, Aug 2010

Source: DOE.

The remaining supply is generated from geothermal, oil-based, coal, and embedded generators (Figure 5.2). El Ni単o decreases the generating capacity of hydroelectric plants and therefore is a threat to the stability of the Mindanao Grid.

Power rates in Mindanao, although lowest among the three island groups, had been steadily increasing, mainly caused by the utilization of ancillary services; the base load could not effectively supply the whole grid and increasing power demands that surpasses the limited generating capacity.

Although 63.56 percent of the power supply in the Mindanao Grid was from new and renewable energy (NRE) sources (hydroelectric and geothermal), there is still a need for additional NRE sources to augment the increasing power demand of the region at 4.6 percent per year.

There is a need for the conduct of feasibility studies and researches for tapping NRE potentials in the region.

Transmission Caraga Region belongs to the NEMA in power grid distribution. Based on the National Grid Corporation of the Philippines (NGCP) Transmission Development Plans for 2009-2015, substations capacity increased from 1,697 MW in 2004 to 2,200 MW in 2008. However, record shows a decreased transmission line length in the same year from 5,753 t0 5,506 CKT-Km. This decrease can be attributed to transmission line capacity upgrading and systems improvement, among others.

Distribution Power is distributed in the Caraga Region by seven distribution utilities, namely: 1.

2.

3.

4.

5.

6.

7.

Agusan del Norte Electric Cooperative (ANECO); Agusan del Sur Electric Cooperative (ASELCO); Surigao del Norte Electric Cooperative (SURNECO); Siargao Island Electric Cooperative (SIARELCO); Dinagat Electric Cooperative (DIELCO); Surigao del Sur I Electric Cooperative (SURSECO I); and Surigao del Sur II Electric Cooperative (SURSECO II).

Of these, DIELCO is the only electric cooperative that is not connected to the Mindanao Grid. It is powered mainly by diesel power plants under the coverage of NPC-Small Power Utilities Groups (SPUGs) missionary electrification program.

In 2009, about 1,269 barangays or 97 percent of the 1,314 barangays in Caraga were energized which is above the Mindanao average coverage of 93 percent. In terms of franchise areas, ANECO, SURNECO, SURSECO I and SIARELCO had 100 percent of its barangays energized; ASELCO had 94 percent; SURSECO II, 97 percent; and DIELCO, 80 percent.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

A large portion of the remaining un-energized barangays is in the remote areas and that have dispersed households; these are difficult to energize and will require extensive resources, time, and effort.

Demand Data from the NGCP indicate an uptrend rise in demand in the four provinces in the region, except that the demand precipitously fell in Surigao del Sur in the mid 2006. The NPC power curtailment of PICOP Resources Incorporated drove this decline; support ancillary economic activities dependent on PRI ground to a halt as well.

Figure 5.3 shows the aggregate power demand per province for the last five years.

Fig 5.3. Annual Power Demand (KW), Caraga Region, 2004-2008

Source: National Transmission Corporation (Transco).

In support of government efforts to alleviate poverty, the DOE launched a massive and focused action to increase and accelerate access to electricity services to the region’s un-energized communities.

Considering that the remaining un-energized barangays were located in remote areas, alternative approaches such as stand-alone renewable energy systems and other rural electrification solutions played an important role in serving remote areas not feasible for line extension.

Donor-funded projects through grants/loans contributed in the achievement of the total electrification target of the region. These grants were aimed at increasing access to electricity, better delivery of electricity services, capacity building for the energy sector, and encouraged participation of the private sector in the rural electrification efforts.

The following were the major projects implemented in the region: Generation 1. Renewable Energy Project: Sipangpang 1 MW mini-hydropower Project in Cantilan, Surigao del Sur (an LGU-initiated project) 2. Hinubasan Minihydro Project, 550-kW in Loreto, Dinagat Islands (an LGU-initiated project) 3. Solar Power Technology Support (SPOTS) Project of the Dept. of Agrarian Reform

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4. NPC-SPUG Diesel Power Plant Project in San Jose, Dinagat Islands 5. Bunawan Switching Station in Agusan del Sur 6. Maramag-Bunawan 230 kV Transmission Line (connecting/looping Bukidnon to Agusan del Sur, Php 2.831 Billion) 7. Construction of 6.09 kilometers PaCemCo - Surigao City Transmission Line.

8. San Francisco 138 kV Substation (Php145.20 Million) in Agusan del Sur Petroleum There are three new independent gasoline stations in Caraga, namely: Jetti, Phoenix, and Fuego oil companies; the big-three – Caltex, Shell, and Petron – continue to lead the industry.

The regional center, Butuan City, posted the highest price for diesel and among the highest in regular gasoline in Mindanao in April 2010. With the increasing number of licenses issued and motor vehicles registered in the region, the demand for petroleum products continue to increase annually.

Given that the prices for petroleum products are mainly dependent on the currency exchange rates, the local government units can assist to keep the stability of the prices by reducing taxes on petroleum products.

D. Water Resources Water resources management had been identified as one of the key factors for Caraga to achieve its goal as the FAME Center of the country. Its rich and abundant water resources should serve as a springboard to achieve a healthier environment for the population and as a viable platform to gain socio-economic prosperity.

Irrigation The maximum irrigation potential of the region had been estimated at 173,391 hectares. At the end of CY 2009, the National Irrigation Administration (NIA) - Caraga assessed the irrigation service area at 53,041 hectares comprising of 25,112 hectares under the NIA-assisted National Irrigation System (NIS); 16,899 hectares NIAassisted Communal Irrigation System (CIS); 3,662 hectares private irrigation system; and 7,368 hectares from other government agencies (Table 5.4).

A critical determinant of agricultural productivity is the availability of adequate, timely, and assured irrigation.

Irrigation development had now reached 31 percent and rice production increased from 326,401 MT in 2007 to 429,539 MT in 2009 through irrigation while rain-fed rice production supplemented the total rice yield by 30.37 percent.

NIA Caraga implemented and completed eight foreign-assisted major projects that were expected to rehabilitate/ construct some 31,387 hectares of irrigation. Among these projects, the Mindanao Sustainable Settlement Area Development (MinSSAD) of DAR, Mindanao Rural Development Program (MRDP) of DA, the Water Resources Development Project (WRDP) of NIA, the Agrarian Reform Communities Development Project (ARCDP) II of DAR, the Agrarian Reform Infrastructure Support Project II (ARISP II) of DAR, ARISP I of DAR, and the Lower Agusan Development Project - Irrigation Component (LADP-IC) of NIA are now completed. Ongoing major irrigation project is the Sta. Josefa Pump Irrigation Project (SJPIP).

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(ha.)

Area

Irrigable

No.

Area

National No.

Area

Communal

NIA - Assisted

S e

No.

-

1

1

2

-

2,306

5,200

7,506

94,923

3

12,065

2

23,175

3,603

173,391

District I

District II

TOTAL

25,112

5,541

5,541

Source: National Irrigation Administration – Caraga.

7

-

2

26,778

1. Surigao del Sur

Surigao del Sur Irrigation Management Office (IMO)

1. Agusan del Sur

Agusan del Sur Irrigation Management Office (IMO)

1,827

11,075

District II

3. Dinagat Province

1,633

District I

12,708

19,814

District II

2. Surigao del Norte

17,341

37,155

District I

1. Agusan del Norte

128

4

28

32

25

7

25

8

33

20

11

31

16,899

610

4,561

5,171

4,137

215

2,979

438

3,417

2,626

1,333

3,959

166

8

17

25

43

9

53

9

62

20

7

27

7,368

515

818

1,333

1,920

269

1,934

289

2,223

823

800

1,623

Area

Agencies

98

2

20

22

43

4

10

3

13

9

7

16

3,662

333

1,008

1,341

1,493

81

254

68

322

190

235

425

Area

Private

(ha.)

No.

A r e a

Other Gov’t.

v i c e

Agusan del Norte, Surigao del Norte and Dinagat Irrigation Management Office (IMO)

Province

Potential

399

14

67

81

114

20

88

20

108

50

26

76

No.

Table 5.4. Status of Irrigation Development as of Dec. 2009

53,041

1,458

11,928

13,386

19,615

565

5,167

795

5,962

5,945

7,568

13,513

Area

Area

Total

31

40

51

50

21

31

47

49

47

30

44

36

DEV’T. (%)

Irrigation

Level of

Percent

120,350

2,145

11,247

13,392

75,308

1,262

5,908

838

6,746

13,869

9,773

23,642

Dev’t.

forR

Area

Remaining

SPISP is aimed at increasing the incomes of about 10,000 farm households and reducing the incidence of poverty in selected rural areas through increased agricultural production and crop diversification. The Project includes the following components: (a) Participation and Transfer; (b) Physical Infrastructure, involving the rehabilitation, improvement, and construction of communal irrigation systems, national irrigation systems, small reservoirs, and farm-to-market roads; (c) Environmental and Social Measures; and (d) Project Management Support. The Project is being implemented by NIA as the executing agency, in close coordination and collaboration with concerned LGUs and other national government agencies such as the DA, DPWH, DENR, and the DOH. In Caraga, a total of five irrigation projects were completed with a total cost of P1.12 billion covering a total service area of 8,120 hectares and benefiting 6,967 farmers. (Table 5.5.)

Table 5.5. List of SPISP Projects in Caraga

Project

Location

Cantilan NIS

Madrid, Surigao del Sur

Calayagon CIP

Cost, PM

Service Area, hectares

Beneficiaries

Status

389.20

2,500.00

3,718

Completed

Buenavista, Agusan del Norte

50.81

230.00

219

Completed

Aclan-Amontay CIS

Nasipit, Agusan del Norte

18.32

130.00

113

Completed

Gibong NIP

Prosperidad and San Francisco, Agusan del Sur

270.84

3,660.00

1,906

Completed

Baobo NIS

Veruela, Agusan del Sur

392.57

1,600.00

1,011

Completed

1,121.74

8,120.00

6,967

TOTAL Source: NIA 13.

Water Supply Safe water supply coverage in the region increased significantly from 78 percent of the total number of households in 1997 to 91.2 percent in 2009. Of the 73 municipalities, including cities comprising the region, 59 had level III water supply facilities and out of these 59 municipalities, 20 had operational water districts (Fig 5. 4).

Fig 5.4. Households with Access to Safe Water Supply, Caraga Region, CY 2009 (In percent)

Source: DOH-CHD Caraga.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

Problems on inadequate water and sanitation facilities exist throughout the region and had been particularly acute in the remote areas. Although many communal faucets had been constructed in recent years, the growth of population had been imposing even greater needs.

Significant achievements had been made in extending drinking water facilities, particularly in unserved and underserved areas. This can be attributed to various potable water supply projects implemented in the region such as those implemented by LWUA, LGUs, DAR, DPWH, and DSWD.

E. Social Infrastructure

Education Facilities Apart from attaining the MDG target of achieving universal access to primary education by 2015, the most pressing and urgent challenge in education is how to improve the overall quality and efficiency of basic education service delivery. Foremost of these challenges include reducing resource gaps in critical education resources, such as classrooms, teachers, desks/armchairs, textbooks, and maintenance operating expenses.

In 2004, the classroom backlog for the eight divisions was 1,634 while the classrooms that needed repair for secondary and elementary levels numbered 2,587. By the end of 2009, while classroom backlog had slightly increased to 1,861, those that need repair would decrease to 2,375. These did not include the gaps in the provision of laboratory and workshop buildings and school furniture and equipment procurement. These can be attributed to various government-initiated programs on education development with partner multi-lateral and bilateral donors in education sector.

The goal to provide adequate and quality educational facilities in this Plan is mainly focused on addressing the shortage and inequitable distribution of elementary school classrooms and secondary school classrooms in Caraga.

Health Facilities Accessibility to primary health care and preventive services remains to be the foremost concern of the health sector especially in the rural areas. Even though the region has seven tertiary health facilities, its authorized bed capacities were so lacking that sometimes a patient is treated in the corridor of the health facility. Of the seven facilities, five are classified as government-operated while the other two are private owned and located in the regional center. A number of district, municipal, and community hospitals, owned and operated by the LGUs are located in strategic locations giving health services to rural-based communities. Most of these facilities need refurbishment/face-lifting as time had taken its toll due to constant use.

There are a number of ways to improve and make health facilities and services more accessible to the people: 1) use the packaged approach – this means that not only would the health facilities upgraded, but the capacities of the facilities will be improved too; and 2) newly constructed BHS would come hand in hand with improved primary health care and preventive services.

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The region should meet the projected hospital bed requirements of its population as indicated in Table 5.6.

Table 5.6. Projected Hospital Bed Requirements Year/ LGU 2010

Popn/ Beds Population

Agusan Norte 343,567

Agusan Sur 704,000

Surigao Norte 585,000

Surigao del Sur 598,000

Butuan City 319,433

Surigao City 141,102

Bislig City 114,278

Regional Total 2,550,000

687

1,408

1,170

1,196

639

282

229

5,100

373,882

787,000

642,500

649,000

347,619

154,971

124,024

2,800,000

748

1,574

1,285

1,298

695

310

248

5,600

404,196

870,000

700,000

700,000

375,804

168,840

133,770

3,050,000

808

1,740

1,400

1,400

752

338

268

6,100

Beds 2015 2020

Population Beds Population Beds

Source: DOH 13

Solid waste disposal facilities Increasing population, urbanization, industrialization, and inappropriate waste management practices are linked with solid waste disposal and management problem in most highly urbanized and urbanizing areas in the region. The increasing incidences of urban flooding are commonly attributed to improper waste disposal that clog waterways and sewerage systems.

DENR prescribed sanitary landfill method as spelled out in DENR Administrative Order 98-49 and 98-50 in response to the adverse environmental impacts of the open dumping method of solid waste disposal adopted by most local government units.

In the absence of waste reduction and recovery schemes, LGUs should heed the call of the national government to adopt the said administrative order, as there are timelines of implementation.

The Environmental Management Bureau data of 2009 show that the region had 81 sites of ecological solid waste management facilities with only 60 sites or 74 percent operational. There were 52 municipalities and one city that still used open dump sites; 15 towns with controlled disposal facilities; one city and one town had sanitary landfills, while five towns were serious on their ecological park. The municipality of Hinatuan in Surigao del Sur garnered the national highest plum and the Presidential Winner of the Garbology Olympics 2009. Despite this sterling performance of one town in Caraga, there were still three towns with no waste disposal facilities at all.

Tables 5.7 and 5.8 provide a glimpse of the extent and distribution of solid waste management facilities in the region and the projected land requirement for a sanitary landfill.

Table 5.7. List of Disposal Facilities, 2009 Disposal Type Province

No. of Sites

ADN ADS PDI SDN SDS TOTAL

14 16 8 22 21 81

Open Dump

Controlled Disposal Facility

No Waste Disposal Facilit

Ecological Park

Sanitary LandFill/ RCS

Residual Management Area

Operational

Abandoned

Closed

Rehabilitation

10 10 7 12 14 53

2 3 6 4 15

1 2 3

2 1 2 5

1 1 2

1 1

7 13 6 17 17 60

1 1 2 3 7

1 2 1 1 3 8

1 1 2

Source: EMB.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

Table 5.8 Projected Land Requirements for Sanitary Landfill by Province and City, Caraga Region, 2010 and 2015 (In hectares) Year

2010

Province/ City Land Area (Sq. Km.) Population Area (has.)

Population

2015 Area (has.)

Agusan Norte

Agusan Sur

Surigao Norte*

Surigao Sur*

Butuan City

Surigao City

Bislig City

Regional Total

2,216.45 343,567 8.93

8,297.19 704,000 18.30

2,819.15 585,000 15.21

5,137.70 598,000 15.55

667.93 319,433 8.31

261.17 141,102 3.67

422.64 114,278 2.97

19,138.42 2,550,000 66.30

373,882

787,000

642,500

649,000

347,619

154,971

124,024

2,800,000

9.72

20.46

16.71

16.87

9.04

4.03

3.22

72.80

* with component city Source: EMB-DENR 13

Ongoing construction of the Butuan City Sanitary Landfill located near the boundary of Barangay Dumalagan, Butuan City and Alubijid of Buenavista, Agusan del Norte.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

II. STRATEGIC FRAMEWORK A. Transport Infrastructure Objective The foremost objective of this subsector is to provide a well-maintained, improved, and upgraded transport system that will improve interconnectivity, access to all production, trading, and tourism sites in and out of the region.

Strategies and Policies To guide the accomplishment of transport objectives and goals and improve the administration of the sector, transport challenges should be aptly addressed by observing and adopting the formulated strategies and policies in various fora/workshops conducted in the region. They are stated hereunder: 1. On PPP project implementation, establish policies related to risk allocation, delivery of road right-of-way, and government financial support for gap funding for transport projects 2. Give priority in road and bridges investment to roads leading to tourism development areas identified in the Caraga Tourism Master Plan of the region 3. Promote the intermodal transport system for efficient facility use and ease in traffic management 4. Improve roads in conflict-torn areas to help stabilize peace and order and pave the way in mainstreaming affected communities to economic development 5. Incorporate disaster risk mitigation principles in transportation planning, design, and road network development and preservation, i.e., consider location of roads and bridges and other transport infrastructure away from hazard and disaster-prone areas 6. Give higher priority in resource allocation to asset preservation or maintenance/rehabilitation of existing transport infrastructure network over new construction/development 7. Construct new roads of strategic importance to local development and for purposes of decongesting the urban areas 8. Designate road-right-of-way (RROW) as protected areas in local land use plans and zoning ordinances 9. Enforce and adhere to load limit in roads and bridges 10. Push through with the Mindanao Railway System 11. Comply with the International Civil Aviation Organization (ICAO) standards in planning, design, and implementation of air transportation infrastructures 12. Pursue the conduct of studies pertaining to the regulatory framework for privatized port operations, tariff and revenue structures, and the development and operation of terminals 13. Modernize the air transportation communication, navigation, surveillance, and air traffic management (CNS/ATM) technology 14. Attract private sector investors under the PPP and/or BOT schemes in upgrading of airport capacity to cope with future demands of growing air traffic volume 15. Regionalize Civil Aviation Authority of the Philippines-Butuan 16. Provide air cargo terminal with cold storage facilities for perishable commodities 17. Support the main trunkline of the region through the development of the Agusan Riverine Port and Transport System 18. Adopt a more proactive and rationalized approach in the planning of new port facilities, emphasizing commercial requirements and financial feasibility 19. Continue the development of feeder ports under DOTC which, if appropriate, should be subjected to regulation, by independent port regulating body

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Programs, Projects, and Activities To achieve well-maintained and improved transport connectivity in and outside the region, a balanced transport infrastructure development programs and projects should be in place or started within the planning period. The following projects should be pursued vigorously: 1. Provincial Road Management Facility in Agusan del Sur and Surigao del Norte, 80 km 2. Second Magsaysay Bridge and Butuan City Bypass Road, Phase II 3. Buenavista-Bunaguit Road, 12.55 km 4. Butuan City-Las Nieves, ADN-Esperanza, ADS-Bayugan Road, 61.11 km 5. NRJ Bayugan-Calaitan-San Miguel, Tandag Road, 83.45 km 6. Hikdop Island Circumferential Road, 15.88 km 7. Agusan del Norte – Surigao del Norte Coastal Road, 85 km 8. Lake Mainit Circumferential Road, 42.42 km 9. Concreting of Siargao Island Circumferential Road, 82.26 km 10. Dinagat Island Road Network, 105 km 11. Nasipit-Buenavista-Masao Port Road, 25 km 12. Mindanao East-West Lateral Road (Agusan del Sur Section), 135.147 km 13. Agusan del Sur Circumferential Road, 121.86 km 14. NRJ Taglatawan, Bayugan-Doña Maxima, San Luis Road, 33 km 15. Butuan City– Agusan - Malaybalay Road, 110 km 16. Butuan City-Pianing-Tandag Road, 60.24 km 17. Tago-LaPaz Bridge (Surigao del Sur), 30 km 18. Completion of Butuan City Airport Development which should include the following specifics: • site acquisition for the installation of one barrette approach light • upgrading of navigational aids • expansion of apron • expansion of vehicle parking area • remove obstruction (cutting of tall trees within the airport perimeter) • acquisition of additional fire truck and fighting equipment • completion of perimeter fence • landscaping of vehicular parking area and passenger terminal building • construction of access road from Barangay Bancasi to Barangay Pinamangculan, thru 10 FAB Philippine Army road, that passes outside the airport perimeter fence 19. Upgrade Sayak Feeder Airport in Siargao Island to secondary airport facility 20. Re-open Bislig Airport to traffic 21. Upgrade Surigao City Airport in terms of its capacity and facilities 22. Refurbish Tandag Airport 23. Refurbish Bislig Airport 24. Implement the Siargao Nautical Highway that connects Hayanggabon Port of Claver, SDN to Doña Hellene Port of Socorro – Brgy. Sering, Socorro – Magpaspas Island, Dapa – Middle Bucas Island, Dapa – Brgy. Consolacion, Dapa-Brgy. San Miguel Port, Dapa – Port of Jubang, Dapa – Barangay Sta. Fe, Dapa

The proposed infrastructure development plan that would start implementing the following roads and bridges projects for the next six years:

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

Table 5.9. List of Roads Programs and Projects 1

2

3

4

5

Butuan City-Agusan-Malaybalay Road with road sections: Butuan – Las Nieves- Esperanza Rd Esperanza-Agusan/Bukidnon Bdry Bdry.-Brgy Zamboaguita, Cabanglasan Agusan del Norte – Surigao del Norte Coastal Road Impvt/Const. of Cabadbaran-Tubay-La Fraternidad Rd Impvt of Magdagooc-San Vicente Road Impvt of Jubang-Malimono-San Francisco Road Lake Mainit Circumferential Road

Improvement of Lake Mainit Circumferential Road (Brgy. Colorado Section) Const of Buenavista-Bunaguit Road

Brief Description/Status Improvement of rural roads to reduce poverty and enhance economic development

Location (province, city/ municipality) Butuan City Agusan Norte Agusan Sur

Year/Target/Cost (P’000) 2020-2027/110km/ 1,333,970

Improvement of accessibility in the western front of Agusan del Norte and Surigao del Norte

Agusan Norte/ Surigao Norte

2012-2015/ 85 km/ 1,445,000

Impvt of accessibility in 8 towns and 97 barangays in the lake influence area On-going

Agusan del Norte

2009-2012/ 42.42 km/787,730

J a b o n g a , Agusan Norte

2008-2012/ 8.50 km / 85,000

Buenavista, Agusan Norte Agusan Norte Butuan City

2009-2011/ 12.55km. / 57,777 2011-2013/ 25 km/ 588,000 2009-2012/ 61.11 km/906,081

On-going

6

Const./Rehab of Nasipit-BuenavistaMasao Port Road

Const/Rehab of about 25km coastal road + 4 RCDG bridges

7

Butuan City – Las Nieves AdNEsperanza ADS- Bayugan Road Section (under RRNDP) Buenavista Bunaguit Road

Improvement of rural roads + 4 RCDG bridges / Ongoing Inter-regional road connection Provide inter-regional accessibility of the western side of Caraga Region / Proposed

Butuan City Agusan Sur Agusan Norte Buenavista, Agusan Norte Agusan del Sur

Connect and improve the existing road sections connecting the six municipalities of Agusan del Sur

Agusan del Sur

12

Concreting Along NRJ-BayuganCalaitan- an Miguel-Tandag Road Improvement of NRJ Taglatawan (Bayugan)-Doña Maxima (San Luis) Road

Concreting Proposed Road Improvement/ Proposed

Agusan Sur Surigao Sur Bayugan/San Luis, Agusan del Sur

13

NRJ Pulanglupa – Sta. Josefa Road

Concreting/Proposed

Agusan del Sur

2 010 - 2 01 2 / 6 . 9 07 km/82,884

14

Butuan City-Pianing -Tandag Road (Agusan del Sur Sect.)

Concreting Proposed

Butuan City Agusan del Sur

2016-2026/ 50.637km/ 595,000

8 9

10

11

Mindanao East-West Lateral Road Agusan del Sur Section NRJ Cuevas-Sampaguita Road Veruela-Binucayan Road Binucayan-San Fernando Rd Agusan del Sur Circumferential Road NRJ Bahbah-Talacogon Rd Talacogon-La Paz Rd La Paz-Loreto Rd Loreto – Veruela Rd Veruela – Sta. Josefa Rd Sta. Josefa–NRJ Cuevas Rd

2010-2012/ 16.599 km/ 199,188 2010-2017 15.147 km/181,764 25.000 km/ 425,000 95 km/ 1,615,000 2 0 0 9 - 2 0 1 9 / 121.861km/1,226.248 28.361km/77,748 33.00km/396,000 23.00km/333,500 19.00km/323,000 8.00km/96,000 10.50km/PCCP 2011-2014/ 28.30 km/339,600 2009-2012/ 33km/135,000

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Programs and Projects

Brief Description/Status

Location (province, city/ municipality) Surigao Norte

15

Concreting of Siargao Island Circumferential Road Dapa-Del Carmen Road Del Carmen-San Benito Road SanBenito-Sta Monica–Burgos Road Burgos – San Isidro Road San Isidro – Pilar Road Pilar – Jct Osmeña Road

Improve connectivity of the island municipalities of Siargao Island/ On-going

16

Improve connectivity of the island municipalities of Dinagat Island/ On-going

Surigao Norte

Proposed

19

Dinagat Island Road Network Cagdianao-Magsaysay Road Magsaysay-Tagabaka Road Tagabaka-Garcia Road Garcia-Bolodbolod Road Bolodbolod-Navarro Road Navarro-Mabini Road Mabini-Loreto Road Concreting of Surigao-Davao Bacuag Bypass Road Quezon-Mapawa-Capalayan-EspinaNavarro Road Jct Cancohoy – Pilar Road

20

Jct Bolodbolod-Albor Road

Concreting/Proposed

21

Jct Mabini-Tubajon Road

Concreting/Proposed

22

Const. of Hikdop Island Circumferential Road

Proposed

Bacuag, Surigao Norte Surigao City Surigao Norte Siargao Surigao Norte Siargao Surigao Norte Siargao Surigao Norte Hikdop Island, Surigao City

23

Mindanao East-West Lateral Road Surigao del Sur Section NRJ Cuevas-Bislig Road Jct Lingig -Trento Road Tandag-Cortes Road (TigaoMambayogo Section) Jct Gamut-San Miguel-Bayugan Road

Provide inter-regional accessibility of the western side of Caraga Proposed Proposed

Agrarian Reform Infrastructure Support Project III Farm-to-Market Roads Component -Brgy Motorpool-Brgy San Isidro Road -Brgy. Marga-Sitio Hubasan Rd with RCDG Bridge -Adlay Barangay Road -Poblacion II-San Antonio Road -Brgy Dakutan-Purok 5 Sta. Fe Road -NRJ Baleguian-Bagang Road -Sta. Juana-Ugoban Rd. with 2 RCDG Bridge

Improve accessibility from rural production centers to trading centers

17 18

24 25 26

Concreting Proposed Concreting/Proposed

Concreting/Proposed

Surigao del Sur

Cortes, Surigao Sur Surigao Sur Tubod ARC, SDN Tubod ARC, SDN Adlay ARC, SDS Tagbabapsa ARC, ADN SACADA ARC, ADS CLIMMB ARC, AND USSAD ARC, SDS

Year/Target/Cost (P’000) 2009-2015 9.333km/ 129,790 11.461km/ 148,990 18.605km/241,870 10.888km/141,544 10.785km/ 140,210 21.117km/274,520 2009-2019/105km/ 11.0km/145,200 20.3km/267,960 19.4km/256,080 4.60km/60,720 15.4km/203,280 13.4km/176,880 20.9km/275,880 2012/0.765 km/9,180 2011-2012 4.064km/ 48,768 2010-2012/ 18.60km/ 223,200 2010-2012/ 3.422km/ 54,860 2010-2012/ 3.580km/ 52,560 200102012/15.88km/ 42,340 2010-2017 32.637 km/ 95,844 13.378 km/ 156,564 2011-2012/2.07 km/ 29,200 2010-2014/14.866 km/ 178,392 2 0 0 8 - 2 014 / TOTA L P320.80 3.54 km 4.196 km 1.703 km 6.460 km 5.135 km 1.900 km 6.900 km

Sources: Department of Public Works and Highways, Caraga and Department of Agrarian Reform, Caraga Local Government Units.

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Chapter 5 | Caraga Regional Development Plan, 2011-2016

Table 5.10. List of Bridges Programs and Projects 1

Second Magsaysay Bridge and Butuan City Bypass Road, Phase II

2

Tago-La Paz Bridge along Surigao-Davao Coastal Road

Brief Description/ Status The project aims to complete the original scope of work of the project by constructing a 9.2 km two-lane PCCP road Pipeline On-going

Location (Province, City/ Municipality) Butuan City

Tago, Surigao del Sur

Year/Target/Cost (P’000) 2007-2012/575,620

2010-2011/ 30 lm/ 300,000

Source: Department of Public Works and Highways, Caraga.

Note: Assumed estimate at P600,000 linear meter of bridge.

B. Digital Infrastructure Objectives 1. To cultivate an enabling socioeconomic environment that is conducive and attractive to the private sector for investment in the digital infrastructure, and 2. To respond to the basic requirements for the BPOs to locate in the three cities of Caraga Strategies and Policies 1. Improve access to and provision of broadband internet to cater, among others, BPO requirements 2. Sustain implementation of the Community e-Center (CeC) Program to allow unserved and underserved areas with internet access 3. Implement E-Government initiatives to improve services delivery, streamline operations, and enhance transparency and information dissemination 4. Enhance reliable telecommunication systems

C. Power and Electrification Objectives 1. To provide a stable and effective power supply in the region by 2016 2. To establish alternative and renewable energy sources 3. To establish generation plants that will meet the energy demand in Caraga for the next 10 years 4. To attain 100 percent energization level in all barangays by 2016 5. To provide affordable electricity service to all households 6. To use 100 percent of all pending RDC-endorsed projects from the share of the PB 117 (EPIRA projects) in the region 7. To continue government control and ownership of the Agus-Pulangi Hydroelectric Complex (APHC) 8. To lower prices of petroleum products in the region

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Strategies and Policies 1. Grant funding for technical and financial support on renewable energy resources 2. Establish alternative and renewable energy sources 3. Conduct Caraga-wide studies on NRE 4. Establish power plant to augment generation needs of the region tapping the PPP mode of financing 5. Expedite the release of EPIRA from PB 117 to concerned recipient LGUs 6. Support the non-privatization of the APHC 7. Energize all barangays 8. Improve electrification coverage of remote areas 9. Reduce taxes on petroleum products Programs, Projects, and Activities 1. Hubo River Hydroelectric Power Project/Hydro/in San Agustin, SDS 2. Puyo Hydroelectric Power Project/Hydro/in Jabonga, ADN 3. Cabadbaran Hydroelectric Power Project/Hydro/in Cabadbaran, ADN 4. Nuventa Wind Power Project/Wind/in Carrascal, SDS 5. San Jose Wind Power Project/Wind/in San Jose, PDI 6. Siargao Island Wind Power Project/Wind/in Siargao Island, SDN 7. Advocacy for the lowering of taxes on petroleum products in the region

D. Water Resources Objective To harmonize and align water-sector agencies and concerned stakeholders diverse efforts into a more coherent, long term, and strategic framework to realize the vision of access to a safe, adequate, and sustainable water supply for all.

Strategies and Policies 1. Adopt the Integrated Water Resources Management (IWRM) approach in development planning and project implementation of government/ implementing agencies 2. Adopt and mainstream the eco-efficiency concept in water infrastructure such as rain water harvesting, retaining ponds in high ground built-up areas, and small water-impounding ponds 3. Adopt and mainstream the disaster risk reduction and management-climate change adaptation (DRRM-CCA) concepts and strategies in the thrust towards efficient and sustainable use, protection, and conservation of water resources 4. Develop new water supply sources in order to cope with the projected economic growth by 2020 5. Increase tariff and cost recovery for high investment cost water resources infrastructure 6. Update and improve sectors baseline information 7. Formulate a streamlined and harmonized systems and procedures for monitoring and evaluation of water sector projects 8. Need an effective national leadership to push for an efficient, effective, and sustainable sanitation program 9. Increase funding levels and access to financing for water resources infrastructure Projects, Programs, and Activities 1. Enhancing Access to and Provision of Water Supply with the Active Participation of the Poor 2. Construction/Completion/Rehabilitation of Irrigation Facilities 3. Agrarian Reform Infrastructure Support Project, Phase III 4. Umayam River Irrigation Project in La Paz/Loreto, Agusan del Sur

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E. Social Infrastructure Objective To provide adequate and quality educational, health and solid waste management facilities in the Region Targets 1.

2.

3.

4.

5.

6.

Construct 1,000 new classrooms in the nine divisions of Caraga Repair/rehabilitate 1,500 elementary and secondary classrooms Construct 50 laboratory and workshop buildings in priority schools Upgrade the capacities of four tertiary, 10 secondary, and 19 primary government hospitals Expand the capacities of the Caraga Regional Hospital in Surigao City from 150 to 250 bed capacity Have all provinces, cities, and municipalities in Caraga create their own 10-Year Solid Waste Management Plan 7. Have all cities and municipalities establish their respective landfill disposal system duly approved by the Environment Management Bureau of the DENR 8. Have the region meet the projected landfill requirements per province/city as indicated in Table 5.8

Strategies and Policies 1. Achieve 100 percent literacy rate through Responsive and Strategic Infrastructure Support by: • establishing elementary schools in school-less barangays • promoting an adopt-and-build a school program for private sector partnership • regular allocating by the local government units of share from education development fund for elementary school building construction program • constructing school buildings/facilities away from disaster-prone areas • continue to close resources gap through the construction or rehabilitation, procurement, and distribution of facilities 2. Improve Health Care Delivery by Meeting Gaps in Health Facilities by: • strengthening the capacities of LGUs to provide preventive and hospital care facilities • promoting an adopt-a-hospital program for private sector sponsorship • tieing-up the provision of medical and health services with the medical missions of benevolent health service providers outside the region and outside our country

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3. Enforce solid waste management policies for a cleaner, environment-friendly Caraga by: • collecting wastes dictated primarily by the prevailing local conditions • providing full support for the effective implementation of RA 9003 to all localities • providing technical assistance to the LGUs, private sector, and national government instrumentalities so that these could comply with the requirements of RA 9003 • conducting a vigorous information, education, and communication campaign on proper waste segregation and reduction and other aspects relative to the effective solid waste management for the communities adoption • formulating the 10-year Solid Waste Management Plan of LGUs • promoting and encouraging private sector investments and participation in solid waste management Programs and Projects Table 5.11. List of Air Transport Development Program and Project, 2011-2013

Programs and Projects

Brief Description/ Status

Location (Province, City/ Municipality

Intermodal Transpor t Development Project (Butuan Airport)

Involves the complete refurbishment and expansion of passenger terminal, extension of runway (100m), establishment of 150m wide runway strip, refurbishment of support facilities including air traffic control and new security fence and removal of remaining obstacles.

The project aims to expand and improve civil aviation infra-structure & support safer operation based on international standards and practices

Bancasi, Butuan City

2008-2013/ 1,061,980

Improvement of Surigao City Airport

The project aims to expand and improve civil aviation infra-structure & support safer operation based on international standards and practices.

Proposal

Surigao City

2010-2012

Upgrading of Sayak Airport into a secondary airport

The project aims to expand and improve civil aviation infra-structure & support safer operation based on international standards and practices.

Proposal

Siargao, Surigao Norte

2009-2012

Refurbishment of Tandag Airport

The project aims to expand and improve civil aviation infra-structure & support safer operation based on international standards and practices.

Proposal

T a n d a g , Surigao del Sur

2009-2010

Refurbishment of Bislig Airport

The project aims to expand and improve civil aviation infra-structure & support safer operation based on international standards and practices.

Proposal

Bislig Surigao Sur

2011-2012

Source: DOTC and CAAP Caraga.

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City, del

Year/Target/ Cost (P’000)

Table 5.12 List of Water Transport Development Name of Port 1. Nasipit Baseport expansion)

(under

2. Surigao Baseport expansion)

(under

3. Butuan Port Terminal

4. Masao Port Terminal

5. Lipata Ferry Terminal

6. Dapa Port Terminal

7. San Jose Port

Port Facilities - Cargo Shed - Passenger Terminal Shed - Standby Power Generator - Open Storage Area - Admin Building - Water Supply System - Area Lighting System - 31 Sets Mooring Bollards & Bitts - 37 Pieces Rubber Dock Fenders - 184 lm, 40 kPa Container Berths - 5 Units, 20 kPa RO-RO Ramps - Administration Building - Passenger Terminal - Cargo Shed - Open Storage Area - Leased Building - Watering System - Electrical System - Fendering System - Wharf, RO-RO Berths - Transit Shed - Area Lighting System - Terminal Building - Open Storage Areas - Standby Power Generator - 15 Sets of Mooring Bitts - 10 Sets Cluster Fenders - 138 lm Wharf - Area Lighting System - Open Storage Areas - 5 Sets of Mooring Bitts - 2 Sets Cluster Fenders - 36.50 lm, 12 kPa Pier - Ferry Terminal - Pedestrian Covered Walk - Watering System - Electrical System - Fendering System - Wharf, RO-RO Berth - Port Terminal Office - Passenger Terminal - Pedestrian Covered Walk - Watering System - Electrical System - Fendering System - Pier, RO-RO Berth - Port Office - Passenger Shed - Electrical System - Fendering System - Wharf, RO-RO Berth

Classification Baseport

Baseport

Terminal Port

Terminal Port

Terminal Port

Terminal Port

Sub-Terminal Port under TMO-Dapa

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Port Facilities

Name of Port 8. Dona Helen Port in Socorro 9. Tandag Port Terminal

- Wooden Pier - Port Terminal Office

Classification Sub-Terminal Port under TMO-Dapa Terminal Port

- Passenger Terminal - Cargo Shed - PPA Quarter - Coast Guard Office

10. Cantilan Port

- Electrical System - Fendering System - Wharf - Cargo Shed - Electrical System

Sub-terminal Port under TMO- Tandag

- Fendering System 11. Aras-asan Port 12. Caramcam Port

13. Lianga Port

14. Lawigan Port

- Causeway, Pier - Fendering System - Pier - Passenger Terminal - Gate & Guardhouse with Perimeter Fence - Electrical System - Ro-Ro Berth - Causeway - Port Terminal Office - Perimeter Fence - Electrical System - Ro-Ro Berth - Causeway - Port Terminal Office - Electrical System - Ro-Ro Berth - Causeway

Source: Philippine Ports Authority.

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Sub-terminal Port under TMO-Tandag Sub-terminal Port under TMO-Tandag

Sub-terminal Port under TMO-Tandag

Sub-terminal Port under TMO-Tandag

Chapter 6 : Good Governance I. ASSESSMENT AND CHALLENGES Overall Assessment

The good governance sector has contributed to the overall attainment of goals of Caraga towards poverty reduction and the F.A.M.E. center of the country through establishment of significant structures that will facilitate growth.

Government machinery For the government machinery, a number of regional line agencies were established within the period 20082009. This helped facilitate the delivery of mandated services of these newly established agencies such as the Department of Foreign Affairs (DFA) and the Professional Regulation Commission (PRC) and the Philippine Overseas Employment Agency (POEA). However, despite these positive occurrences, there remains the challenge of full personnel complementation among the regional line agencies present in the region.

Development financing Based on the accomplishments of Caraga, revenue generation in the region was strong and even surpassed targets along this line. For import and export revenues, there had been a slow and even declining trend in its growth triggered by the sluggish importation of the region’s mineral products particularly China in 2008.

Local finance & Local Legislation In the area of local governance particularly in finance, average IRA dependency of the region was pegged at 84.06 percent that was 23.16 percent higher than the national average based on consolidated LGUs. There remains the challenge for the region to strengthen and diversify its local sources of income. Local legislation also shows that there is a need to strengthen linkage in the implementation of the executive and legislative agenda to ensure coherence in actual manifestation of written agenda.

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Local development planning Local planning in support to governance had successfully integrated the Disaster Risk Reduction and Climate Change Adaption Principles in the Provincial Development and Physical Framework Plans (PDPFPs); however, these principles should also be implemented in cities and municipalities where these are needed most.

E-Government Efforts to intensify transparency and accountability had also been undertaken. These are visible in the enrolment of LGUs and agencies in the G-EPS as well as in the capability-building intervention that will help promote values formation, will facilitate service, and will fight corruption. This can also be seen in the area of election automation.

Administration of Justice Administration of justice faced several challenges mainly caused by the limited number of judges and courtrooms in the Region. This, in turn, resulted in delayed resolutions of cases filed. This has to be addressed further along with the other challenges in the current planning cycle.

A. Regional Government Machinery Inadequate personnel complementation Caraga Region had been affected by budgetary constraints especially from CY 2004 to 2006 when the national government instituted cost-cutting measures to reduce the budget deficit. With the marching order from the previous administration that there should be no creation of new positions, the pressing challenge was that most line agencies in the region operated with lean manpower or less than the ideal number of manpower of a regional office.

Absence of other critical agencies in the region In reference to the establishment of regional offices in the region, some government bodies failed to set up regional offices in Caraga this, despite the region’s 15 years of existence. The few that did are the following: the regional offices of the Commission on Information and Communications Technology (CICT) and the National Telecommunications Commission (NTC) in 2004 and the Professional Regulation Commission (PRC) in 2007.

On May 2008, the Department of Foreign Affairs (DFA) set up its Caraga Regional Consular Office in Butuan City.

The Philippine Overseas Employment Administration (POEA) had set its regional office in Caraga but still with minimal personnel. On the other hand, the Housing and Land Use Regulatory Board (HLURB), Home Insurance Guaranty Corporation (HIGC), and the National Home Mortgage Financing Corporation (NHMFC) regional offices were pulled out of Caraga.

For other critical regional offices that have not yet been installed in the region, RDC resolutions had already been passed reiterating the request for the establishment of the Regional Statistical Coordination Unit (RSCU) of the National Statistics Coordination Board (NSCB), and for Bangko Sentral ng Pilipinas to put up its regional office in Butuan City and PRC to be upgraded into a full regional offices. Relative to this, the BSP is already assessing prospective sites for the establishment of its regional office here.

Limited funds for the regional offices to construct own building Most regional line agencies are renting spaces in commercial buildings while some are housed in the premises of the local government units in Butuan City. Only 28 agencies have been able to acquire or build office buildings.

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This means that the government offices are shelling out funds for rental expenses from maintenance and other operating expenses (MOOE).

On the other hand, the city of Butuan, under the previous administration, initiated the establishment of the D.O. Plaza Regional Government Center at Barangay Tiniwisan, Butuan City to accommodate the regional offices.

However, no locators have settled in the said area due to the considerable distance of the area from the city proper.

B. Regional Development Financing Weak linkage with agencies on regional budgeting From CY 2004 to 2008, most of the major regional line agencies were granted an average of only 80 percent of total proposed budget in a given year (Figure 6.1).

Figure 6.1. Percentage of Actual Budget Disbursed to Proposed Budget, 2004-2008

Source: Regional Line Agencies

Approximately, only 13 percent of Caraga’s regional line agencies were able to avail of the proposed budget 100 percent. Because of this, these agencies were able to carry out in full swing the proposed activities and priority projects which support the agencies’ mandate.

Unstable revenue generation As for the cash revenue collection of the region, data in 2008 and 2009 show that the targets exceeded by 22.95 percent and 32.26 percent, respectively. However, certain challenges remain in this area, which include uncooperative LGUs in the implementation of some tax laws and regulations like remittances and collection of documentary stamp tax and withholding tax. The lack of personnel assigned for extensive collection of taxes is also a pressing challenge.

Among the types of taxes, the income tax still takes more than half of the entire tax collection followed by other taxes and VAT. The income tax, especially among government workers, remains one of the most reliable sources of taxes having a captured client.

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Table 6.1. Tax Collection, 2008-2009 Increase/Decrease Items

2008

2009 Amount (P)

a. Income Tax

Percent

1,018,508,976.17

1,061,106,249.11

42,597,272.94

4.18

b. Value-Added Tax

575,718,174.60

711,760,188.46

136,042,013.86

23.63

c. Percentage Tax

118,548,963.65

120,601,978.68

2,053,015.03

1.73

29,948,006.03

63,109,184.97

33,161,178.94

110.73

123,585,565.01

155,946,119.10

32,360,554.09

26.18

1,866,309,685.46

2,112,523,720.32

246,214,034.86

13.19

d. Excise Tax e. Other Taxes Total

Source: Bureau of Internal Revenue - 13.

The highest increase in percentage is exhibited by excise tax (Table 6.1) which was contributed by remittances from Butuan City and Tandag City. On the part of Butuan City, the increase may be attributed to an intensified collection mechanism and establishment of legislative structures. For Tandag City, the increase may be due to the new big mining companies operating in the district, which made good payments during the period (Table 6.2).

Table 6.2. Tax Collection per District, 2008-2009 Revenue District Office

Actual Collection

Increase/(Decrease)

2008

2009

Amount

%

Butuan City

809,718,551.07

978,347,712.48

168,629,161.41

20.83

Bayugan City

384,815,376.96

419,282,035.45

34,466,658.49

8.96

Surigao City

343,769,672.43

359,222,486.90

15,452,814.47

4.50

Tandag City Total

328,006,085.00

355,671,485.49

27,665,400.49

8.43

1,866,311,693.46

2,112,525,729.32

246,214,035.86

13.19

Source: Bureau of Internal Revenue - 13.

A number of unforeseen circumstances occurred that pared down tax collection: a number of top private sector taxpayers temporarily ceased operations; there was a decrease in remittances by some NGAs; and transfer of tax payments of top mining companies to the Large Taxpayers Service in the national office, thus decreasing tax collection in the region.

Figure 6.2. Cash Revenue Collection, 2004-200 On the part of the Bureau of Customs, the data of District II (Bislig City, Butuan City, and Surigao City) show that there was a hefty increase of revenue collection in 2005 by as much as 50 percent. The Paper Industries Corporation of the Philippines (PICOP), which was still operating during that time, increased revenue during this year due to importation of paper materials (Figure 6.2).

Source: Bureau of Customs.

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However, in the following years (2006-08), revenue collection was on a decline with the lowest amount posting at P7.605M in 2008. The low point collection may be attributed to the onset

of the global financial crisis during the year that affected trade and investment especially in the exportation of minerals. The Olympics hosted by China in 2008 somehow impacted to the drop of revenue collection in Caraga.

Recognized as one of the biggest importers of minerals, China suspended importation of the said commodity from the region to reduce pollution from industries during the Olympics in 2008.

C. Local Finance Persistent IRA dependency among LGUs The region showed an increasing Figure 6.3. LGU Percentage IRA vs. Local Revenues, 2004-2009 amount of IRA as well as increasing incomes from other local sources from 2004-2008. The increase in income from other local sources however, did not offset the LGUs IRA dependency rate. The growth in local income did not reach the target of 10 percent per year but it remained the same from 20042008 with a slight increase of 3 percent in 2007 (Figure 6.3).

The ideal IRA dependency rate of 50 percent IRA and 50 percent from other sources was not achieved having an almost steady percentage ratio of 83 percent IRA to 17 percent from other sources. Among the Source : BLGF - 13.

LGUs, Agusan del Sur recorded the highest IRA but Butuan City and Surigao City had the lowest dependency rates with 68 percent IRA and 32 percent real property tax plus other local revenues, 18 percent off the 50-50 ideal rate.

Table 6.3. IRA National Average Level

% IRA

Province National Average

79.45

City National Average

43.19

Municipal National Average

75.11

Consolidated Mun., City, Prov.

60.90

Caraga Region

84.06

Source: BLGF.

When it came to the national data on IRA dependency rate, it can be observed that Caraga Region was higher at 84.06 percent average compared to the 60.90 percent LGU consolidated national average figures (Table 6.3).

The challenge now for LGUs is to generate local revenues from the business and economic enterprises to help augment its local income. Another in their to-do list is to update its real property tax mapping as well as increase people to manage real property appraisal and evaluation. These actions should optimize potential tax collection.

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Notable deficit in some LGU spending Looking at the individual LGUs, the provinces and cities that recorded negative surpluses in different years are as follows: Butuan City in 2004, 2006, and 2007; Agusan del Sur in 2004 and 2005; Surigao del Norte in 2007 and Surigao del Sur also in 2007. In general, however, the region recorded a positive surplus from 2004-2008 with the highest in 2006 and the lowest in 2004.

Figure 6.4. LGU Income versus Expenditure, 2004-2008

Source : BLGF - 13.

A concern that needs to be addressed is the continuous deficit of some LGUs at the end of a year. This may be attributed to the lack of consistency in the implementation of approved LGU budget and annual investment plans that resulted in overshoot spending. An area here that should be looked into is the possible realignment of funds from more important projects to other urgent but less significant spending items instead (Figure 6.4).

Low priority LGU spending on social sector Figure 6.5. LGU Spending per Function, 2004-2008

As regard the distribution of LGU spending, the category that had the highest spending was in general services. This meant that with 34 percent going to general services, housing and community development got the least. This explains why a large percentage of the LGU population occupies makeshift houses (Figure 6.5).

D. Local Legislation Laxity on policy implementation

Source : BLGF -13.

The region targeted a 100 percent formulation of the Executive and Legislative Agenda and this target had been fully accomplished. This signifies the affirmation of LGU officials to harmonize the legislative and executive agenda. This does not automatically mean however that all of the agenda of the executive are given legislative support as can be shown in the State of Local Government Performance Report (SLGPR), where a mere 3.08 in local legislation was recorded (Figure 6.6).

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Figure 6.6. 2009 Performance Index: Administrative Governance (cities and municipalities)

Source: LGPMS, DILG.

A look at the ordinances of the LGUs passed for the period 2004-2009, a number were significant in that these promoted environmental protection, senior citizens welfare, education, and promoted investments.

The LGUs also supported the attainment of the Millennium Development Goals by passing resolutions and ordinances to support the attainment of these goals and specific targets.

Even with the attainment of 100 percent formulation of the Executive and Legislative Agenda, the challenge still lies with the actual support given the implementation of the resolutions and ordinances created; there should be more legislative support on the priorities of the executive.

E. Local Development Planning Lacking intensification of planning process

Under the Provincial/Local Planning and Expenditure Management (PLPEM) Project, the two pilot provinces for Caraga Region – Agusan del Sur and Surigao del Norte – were able to formulate their Disaster Risk ReductionClimate Change Adaptation Enhanced Provincial Development and Physical Framework Plans as targeted. In addition to this, Agusan del Sur had already submitted the Provincial Development Investment Plan while Surigao del Norte is still in the process of formulating it.

The formulations of municipal development plans and comprehensive development plans of the cities in Caraga Region are still in the process of completion before the year ends. The DRR principles, however, had not been integrated in the development plans. In addition, rights-based approach, security, poverty, and other various sector concerns were insufficiently integrated in the local development planning process.

Incidentally, data utilized in local development plans for highly urbanized and component cities were still not segregated from the mother provinces particularly the cities of Bislig and Surigao.

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Inactive Barangay Development Councils (BDCs) As for the institutionalization of Barangay Developments Councils (BDCs), in 2007, there were a total of 524 functional BDCs. After a year, the number dropped precipitously to 268, meaning a great number were inactive or needed strengthening.

F. E-Government Need to update and upgrade government websites All of the LGUs had DSL Internet connection as targeted in 2007. The setback is the failure to reach Stage 4, but for agencies with existing websites, these were already transactional. As of July 2010, 62 percent or 45 of the LGUs were still on emerging stage Figure 6.7. Status of Websites in LGUs or Stage 1; 29 percent or 21 LGUs had Stage 2 websites, meaning these were already enhanced and offered dynamic and accessible information; and around 9 percent or six LGU websites were already interactive or on Stage 3.

The challenge now for the region is to have as many LGUs as possible to have an interactive, dynamic, and transactional websites.

Currently, a large number of regional line agencies and LGUs have not reached this status that could have eased up access to information among the different stakeholders especially to prospective investors in the region.

Source: Commission on Information and Communication Technology.

G. Civil Service and Public Accountability and Moral Recovery Non-availment of services to enhance processes The region had at least 14 regional line agencies accredited with the Civil Service Commission, excluding three DepEd district offices, local government units, three water districts, and two state colleges (now state universities). This means that as accredited agencies, they were given the authority to act on personnel matters particularly on the preparation of appointment papers without prior approval from CSC. This hastens the process of appointment of personnel among accredited agencies, promotes autonomy on appointment and promotion, and lessens documentary requirement for accredited agencies. The challenge is for other agencies to enroll in the accreditation program as well.

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Strengthening participation to engage in service development Efforts of the Region to enhance the quality of service among its personnel and improve capacities can be seen in the courses availed which include Republic Act 6713 or the Code of Conduct and Ethical Standards for Public Officials and Employees and the Leave Administration Course Effectiveness (LACE). At least 442 government employees participated in both courses within the six-year period starting the year 2004 up to 2009. This promoted accountability among public officials, agency heads, and rank and file in the delivery of agencies’ mandates to the different stakeholders.

On the local scholarship program (LSP), about 15 government employees were granted scholarship for the master’s course within the same period. These are efforts of government employees to improve their craft so that they can perform better.

Limited participation in values reform efforts Moreover, the Region also invested in moral recovery and values formation programs; at least 426 government employees participated in the Values Orientation Workshop (VOW) conducted within the same time frame.

Hopefully, the reorientation seminars will remind the employees the role of government in delivering quality service to the people. Also, with the approval and implementation of the Anti-Red Tape Act (ARTA), transparency mechanisms have been put in place but the challenge is to strictly implement this law, and intensify monitoring, and documentation of violators for possible sanctions by the Civil Service Commission.

H. Electoral Reform At least two national and local elections (2007 & 2004) and one barangay election (2007) had passed but massive vote buying and political harassment from the contending parties allegedly marred the past political exercises.

Efforts to update the voter’s list were undertaken to ensure honest, orderly, and peaceful election for the 2010 national and local elections through a massive re-registration of old voters and registration of new voters. A covenant signing initiated by the police regional office Caraga press corps in partnership with the Parish Pastoral Council for Responsible Voting (PPCRV), Integrated Bar of the Philippines-Agusan del Norte chapter, and the Commission on Elections was conducted in December 2009 with political candidates making the pledge. The aspiration to fast track election results was finally realized in 2010 with the automation of the May 10, 2010 synchronized national and local elections.

I. Administration of Justice Delayed processes in the justice system The administration of justice in the region is facing its share of challenges as well. Cases filed in 2007 numbered 9,126 and there were 8, 849 disposed cases. In 2008 there were 9,191 cases filed and only 4,857 cases were disposed. This gives us a disposition rate of 98 percent and 53 percent, respectively. A pressing challenge along this aspect is the delay in administration of justice that sometimes leads to loss of interest among accusing parties to pursue the case. Another challenge is the limited number of judges and personnel working in the justice system. As of 2008, there were only 23 judges and 33 trial courts in the region compared to the numerous of cases being filed.

Presence of human rights violations As regard the status of human rights complaints, the main challenge is that the victims and witnesses are sometimes reluctant to give their testimonies for fear of their lives especially in highly sensitive cases. Complaints

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being resolved in the region include violations to right to life, liberty, protection of honor and reputation, freedom from discrimination, freedom from arbitrary interference, security of person, freedom from deprivation of property, and freedom from torture.

Insufficient jail facilities On the other hand, the challenges in the jail and penology centers in the region is that there is still heavy congestion in jail cells which increases risk in inmates health condition as well as their safety. There also remains a concern that a number of the juvenile delinquents are still not locked up in separate cells.

Difficulty to monitor parolees and probationers Accomplishment of the region when it comes to parolees and probationers tells us that interventions were made for behavior management from 2004-2010 with an increasing number from 742 in 2004 to 1,745 in 2010.

Restorative justice efforts were also undertaken such as conduct of offender-victim healing sessions, victimoffender mediation, and the like, numbering to about 80 to almost 200 per year. These are interventions to enable parolees have a smooth and productive transition into the community. The challenge here is that the Parole and Probation Administration had very limited personnel, thus there was difficulty to religiously monitor parolees and probationers. But this was somehow minimized with the appointment of responsible persons in the community to undertake recognizance for parolees and probationers.

II. STRATEGIC FRAMEWORK The strategic framework of the governance sector is anchored on the changes that President Aquino’s Social Contract with the Filipino People seeks to achieve. Transparent and accountable governance is foremost in the President’s agenda. This seeks to address poor governance, weak institutions, and deficient policies that contribute to uneven playing fields and unequal access to opportunities for the people. Any amount of intervention from government through the present administration may be jeopardized if the present condition of governance is not corrected.

Economic growth is also an area of priority. Government has not fully explored the full participation and partnership of the private sector in the economy. Governance contribution towards this goal is to put up a sound policy environment as well as to redirect government’s effort towards innovative and more practical means of funding projects where public-private partnership has been identified as the main strategy.

Lastly, in order to sustain the development for reform, an atmosphere of peace, security, and unbiased justice system should be pursued. An environment of peace and working justice should strengthen the confidence of economic actors that would bring about growth.

A. Regional Government Machinery Objective In every turnover of government, people anticipate how the new governance will dispense his style of governing, much more in a region far removed from the center of power. For the planning period, Caraganons are looking forward to an improved and efficient delivery of government services, transparency in all ways.

Targets 1. To fully implement the rationalization program within 2010-2013 2. To fully have staff complementation of regional line agencies consistent with their respective Rationalization Plans by 2016

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Strategies and Policies 1. Lobby with DBM to enjoin all agencies to comply with the submission of agency rationalization plans – the resolution will create awareness in the DBM central office on the need of Caraga for additional personnel and the need to focus government efforts and resources on its vital services.

2. Speedy approval of pending rationalization plans – the speedy approval and implementation of agency rationalization plans will allow agencies to increase their personnel needed to perform mandated functions for the entire region and streamline the operations into a more workable, conducive, and tight agency.

3. Harmonize strategies of concerned agencies with similar PPAs – to avoid duplication of agencies having the same services, strategies should be harmonized and converged in the delivery of development interventions that would result in more efficient use of financial and human resources.

4. Proposed PPAs should be linked with MFOs – alignment of PPAs to the major final outputs (MFOs) of agencies should result in the efficient delivery of government services. It follows of course that agencies carry out their PPAs as planned.

B. Regional Development Financing

Objective Within 2011-2016, Caraga should have been able to enhance the generation, collection, and remittance of revenues of both regional and local governments; an exuberant performance would portray a revived economy Targets 1. To hire competent upright men and women who will collect the correct amount of taxes due government 2. To increase tax collection every year from 2010-2016 by 10 percent 3. Periodic monitoring of local and foreign funded projects 4. To actively involve Civil Society Organizations (CSOs) and other stakeholders in the formulation of agency budgets 5. To promote and divulge status of government projects as regard the physical and financial accomplishments Strategies and Policies 1. Promote a relationship between LGUs and revenue collecting agencies that is mutually satisfying, harmonious, and respectable – this leads to a strengthened cooperation in the collection and remittances of the correct amount of taxes. This also facilitates identification and elimination of tax evaders and violators.

2. Formulate tax holidays to invite more investors – to help stimulate investments in the region, LGUs particularly municipalities, are encouraged to create tax holidays. Implementing such incentive program will attract investors thereby facilitating economic growth not only in these localities but will benefit Caraga Region as a whole.

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3. Generate more sources of financing/income-generating projects – employ initiatives such as accessing funding assistance from local and foreign donors to implement income-generating projects will aid the LGUs in augmenting its income and implement more developmental projects.

4. Advocate thorough regionalized budget hearing – budget proposals of Caraga government agencies should be thoroughly reviewed and evaluated at the regional level to ensure that the judicious and rightful budget had been reached before it is submitted to the concerned agency central offices.

This will also ascertain that the Agency and SUC budget proposals, especially their programs, projects, and activities are in line with the region’s development thrusts and priorities and should be anchored on the strategies and targets of government. This should also include consultation and solicitation of feedbacks from the CSOs and other stakeholders to strengthen people participation.

5. Promote Public-Private Partnerships (PPPs) – to put a solution to the long-standing lack of funds, LGUs are encouraged to go into partnership with the private sector that would result in high impact projects particularly related to infrastructure.

6. Establish an on-line updating mechanism divulging status of government projects and spending – through this, the citizens are able to view how and where the government resources are being spent by the government agencies. Procedures for approval of projects and feedback mechanism may be incorporated in the system so that the people are well-informed of government transactions and are able to give their opinions and suggestions on these matters. Divulging such public documents would also allow government offices to be more transparent and responsible in spending government money and in making sure that programs and projects are properly and timely implemented.

C. Local Finance Objective Within the plan period, it should be seen that the LGU have improved performance at all levels of government Targets 1. To increase LGU performance and competencies to at least a rating of four based on the LGPMS and the SCALOG in areas where current rating are only fair or less than four 2. To maintain or heighten ratings of Caraga LGUs in areas where it is already performing well Objective Reduced IRA dependency among LGUs Targets 1. To increase local income from RPT and other sources by at least 10 percent per year until 2016 2. To increase number of investors in the localities that would boost local income 3. To bring down cost-to-collect ratio to a level that is profitable to the LGU Objective Rationalized government spending Targets 1.

2.

3.

4.

To fully apply the 20 percent allocation to developmental projects To increase the LGU spending in housing and social welfare development To attain zero deficit of LGU income versus expenditure at the end of each year until 2016 To streamline government structure manned by competent, local agencies/bodies and personnel that would make for a more approachable and, therefore, effective government 5. To minimize spending on non-productive projects 6. To promote a more transparent mechanism of government spending

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Strategies and Policies 1. Fully implement DILG-DBM-NEDA-DOF Joint Memorandum Circular Number 1, Series of 2007 for effective prioritization of projects – this will clarify the roles of concerned agencies in local planning, investment programming, budgeting, expenditure management, and revenue administration. Its implementation will synchronize planning calendars and provide complementation between and among all levels of LGUs in the planning processes.

2. Support initiatives that strengthen local planning and expenditure management – a wellestablished linkage between the LGUs planning and expenditure management is crucial to make sure that expenditures are well-thought out and not arbitrary. This will help LGUs rationalize the expenses for a given year since spending shall be based on what has been prioritized during the planning period.

3. Support initiatives on improving LGU capacities in fiscal and financial management, revenue administration and resource mobilization, and other assistance that empower LGUs to be financially independent – this will help reduce LGUs IRA dependency, increase their capacity to engage in income generating activities and encourage a more proactive and innovative endeavors to generate large investments.

4. Support initiatives that strengthen LGUs to tap non-traditional sources of financing such as bond flotation, public-private partnerships through BOT and joint ventures, among others – PPP as President Aquino’s key strategy for his administration may be explored by the LGUs if the conditions are beneficial for their locality. However, before the LGUs shall enter into any of these ventures, careful study and evaluation should be undertaken in order to make sure that the LGU partners are not disadvantaged.

5. Follow strict compliance on the implementation of the LGU three-year investment plan and the annual investment plan to help minimize duplication of projects – following investment plans for project funding and implementation would ensure that the planned and prioritized programs and projects of the LGU will be implemented within the desired timeframe. This would also give focus to the LGUs budget towards productive and developmental projects rather than randomly funding and implementing PPAs. 6. Update real property tax mapping to its present value – updating the real property tax map would upgrade the tax value of lands and buildings (GPS/GIS-based) in the locality based in its present value. This would in turn generate more RPT for the LGUs that will help increase its local revenues and help decrease its IRA dependency.

7. Strengthen the participation of civil society in LGU budget preparation and PAP prioritization – the participation of CSOs in these processes would provide a fresh perspective for local planners on priority areas in the community and grassroot levels. This would also encourage transparency in project prioritization and budgeting.

8. Lobby interventions to address procedural problems related to the release of LGU shares in national wealth and other taxes to augment local fund sources – a more consistent schedule on the release of shares from national wealth can help LGUs rationally plan expenditures intended from this income source as well as allow the inclusion of expected income of shares from national wealth in the planning stage.

9. Provide incentives to fund finder champions among the revenue-generating offices of the LGU to encourage a more energetic and vibrant collection efforts – provision of appropriate incentives and recognition to the highest earning revenue-generating local agencies would encourage updating of processes and vigorous collection.

10. Institutionalize LGPMS and SCALOG in all LGUs to measure their sectoral performance – this will facilitate the self-assessment of LGUs on their performances in various sectors such as economic, social, and administration. This would in turn provide guidance for planning purposes and areas for improvement.

11. Rationalize hiring of job orders and creation of new local offices – this would prevent draining the LGU funds which are spent on salary of job orders or creation of new offices which are not necessarily needed. Savings from these probable expenses can instead be spent on more productive ventures of the locality.

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12. Streamlining of Business Processing and Licensing Systems and Development of Management and Information Systems – enhancement of processes and streamlining of systems in the local offices can facilitate better services towards clients and even more so to prospective investors. This will promote accountability by developing competency, effectiveness, efficiency and professionalism in government transactions and services.

D. Local Legislation Objective Have properly equipped new LGU with the basic knowledge and tools that would enable them craft ordinances and make proper codification of these.

Targets 1. To increase in local legislation rating based on the SCALOG to at least 4 2. To increase the number of officials and personnel equipped with basic knowledge and tools to prepare ordinances and make proper codification of ordinances Objective Must have a complementary government agenda among the executive and legislative branches of the LGU Targets 1. To have formulated a 100 percent executive and legislative agenda during the planning period 2. To approve bills and ordinances effecting increased budget in social projects such as education, health and social welfare.

Strategies 1. Prepare Executive and Legislative Agenda – the rest of the LGUs that were not able to submit their ELAs must have formulated their own executive and legislative agenda. This will provide coherence between the plans of the executive officials and the legislative agenda and should serve as a blueprint for development in their locality.

2. Create an enabling condition that will draw out the skills and capabilities of LGU officials and staff into preparing and implementing local laws and rules – an admittedly long drawn and painful process, this would help officials and personnel come up with more sound and practical legislatures which would help develop an atmosphere favorable for their constituents and investors.

3. Provide a monitoring mechanism that would look into consistencies, relevance, and implementation of the legislative and executive agenda – keeping track with the legislative and executive agenda will avoid inconsistencies in the execution and implementation of the policy.

Yearend evaluation and assessment by the LGUs must be conducted with the participation of the concerned local offices to review the context, implementation, and effect of the legislation in the community.

4. Rationalize the preparation of local legislations in such a way that these do not only respond to existing problems but would also prove to be deterrent to foreseen problems in the locality – the legislation must not only be reactive but also proactive. It should not only be created as a solution but as prevention too. After the evaluation, LGUs should be able to craft more effective legislations.

5. Review existing local legislations to check duplication or contradiction – this would avoid redundancy and contradictions that will effectively help law enforcers implement the law. Evaluation must be conducted by LGUs yearly with the DILG and other concerned agencies assisting.

6. Strict implementation of local legislations with sanctions to its violations – putting weight on the implementation will make the law effective and serve its purpose. Strict implementation will mean that there is political will and people will respect their leaders for it. All concerned must do monitoring.

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7. Evaluate existing ordinances to assess how much focus is channeled towards resolving social issues – LGUs are able to assess their capacity and efforts directed towards resolving social problems through the existing bills and ordinances. The lack of which may contribute to a poor delivery of basic social services towards the populace.

E. Local Development Planning Objective Must have updated land-use and development plans during a prescribed time Targets 1. By 2012, to have 100 percent of the Provincial Development and Physical Framework Plan formulated 2. By 2013, to have 100 percent of the Comprehensive Development Plans updated 3. By 2013, to have 100 percent of the Barangay Development Program finished 4. To have 60 percent of LGUs updated CLUPs Objective To harmonize participatory responsive local plans Targets 1. To craft DRR/CCA/rights based/GAD/conflict sensitive inclusive local plans 2. To formulate a plan on social integration program Objective Must have segregated data for highly urbanized and component cities – Butuan City (HUC) and Surigao and Bislig City (Component) Target To have a segregated data of cities in all official studies and documents Strategies and Policies 1. Institutionalization/utilization of the Community-based Monitoring System (CBMS) in local planning – intended to improve governance and greater transparency and accountability in resource allocation, the CBMS would be a useful tool capturing the real situation in the local communities thus, providing national and local governments with relevant information for policy-making and program implementation.

2. Establish unified planning tool – to put in harmony all relevant tools in planning such as disaster risk reduction principles, rights-based approach, security, poverty, and other sectoral concerns to development plans would yield a more unified and complementary effort for the region and the intended beneficiaries of the plan.

3. Unify/integrate all development plans at all levels – the successful implementation of development plans requires linkage in two dimensions – both vertical and horizontal. The national government plans should take off from the regional plans that are based from the provincial and municipal plans. In relation to this, coordination and cooperation should be established among concerned agencies and stakeholders to come-up with a collective effort leading towards achieving common strategies.

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4. Lobby to NSO to provide segregated data base for highly urbanized and component cities – having a separate data base for Bislig and Surigao City would facilitate assessment of actual performances over targets and in identifying gaps that need to be addressed in the cities.

5. Strengthen utilization of planning tools – use the different tools such as the disaster risk reduction principles and the human rights based approach in crafting development plans, be this in the regional or local level. These planning tools are intended to address issues at the micro level.

6. Strengthen linkage of all concerned plans: PDPFP/PDIP-AIP – to be assured of getting funds for projects as reflected in the provincial development plans, the Annual Investment Plan should be based on what is stipulated in the PDPFP/PDIP.

F. E-Government

Objective Must have more transparent procurement processes and activities among local government units and regional line agencies Target To have all, without exception, agencies and LGUs enrolled in the Philippine Government Electronic Procurement System by 2016 Objective Must have more agencies putting up their respective regional websites Target To have most, if not all, regional line agencies create their websites Strategies 1. Train RLAs and LGUs regarding the electronic procurement system (PhilGEPS) and accept automatic registration for walk in clients – registering with PhilGEPS would allow agencies to have a wider choice of market and would allow access to more economical choices. DBM and COA must make training compulsory for all government agencies for a unified implementation of the law and agreements are consensual.

2. Encourage civil society organizations to participate and get a training on how to monitor procurement at all levels – this would allow wider participation in any procurement activity which would benefit government in purchasing the best product at its lowest cost. DBM, PIA, COA, and other concerned agencies must conduct a campaign inviting the different sectors for information dissemination.

3. Actual monitoring of all RLAs and LGUs through post audit in compliance of RA 9184 – this would enforce the implementation of RA 9184 and ensure that the law is properly executed. COA and the LGU accountants must ensure that posting in the PhilGEPS is compulsory in any procurement activity from the barangay level to the regional line agencies.

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4. Implementing agencies should publish the status of projects and fund utilization for more transparency – public confidence in government would be reestablished which would also encourage partnership between government and the private sector. This would also motivate taxpayers to pay their obligations as part of nation building. All financial transactions of government agencies must be published in their websites.

5. Ensure that the public can easily understand the data posted – agencies must use layman’s term and must be open for any public inquiry.

G. Civil Service and Public Accountability, and Moral Recovery

Objective Government employees should have reformed work attitudes and must be service-oriented during and beyond the plan period Targets 1. To have officer of the day desks in all agencies 2. To have all government workers undergo values orientation/ reorientation program pursuant to RA 6713 or the Code of Conduct and Ethical Standards for Government Officials and Employees 3. To have ethical standards and disciplinary mechanisms in place across the bureaucracy 4. To recognize and acknowledge exemplary performance Objective Must have achieved transparent and proper utilization of public funds Targets 1. To have ensured that all government agencies and instrumentalities complied with the Anti-Red Tape Act (ARTA) 2. To have eliminated corruption at all levels of governance Strategies 1. Publication of charter of agencies in conspicuous places - in doing such, external clients are well informed of the fastest way to avail of the frontline services offered by the concerned offices.

This can also encourage accountability to the clients in terms of timely delivery of frontline services and can allow clients to give feedback on quality of services delivered by the responsible service providers.

2. Publication of IRA releases to LGUs in national newspaper - this should encourage transparency and accountability in government spending of the IRA and would keep constituents well informed of government spending. This should also include the publication of the fund status, proposed and approved budget, LGU spending, among others of LGUs. 3. Strengthen the merit and rewards system – entailing merits and awards among better performing government workers would encourage sustained or higher performance on their part. This would serve as a non-monetary compensation for their delivery of basic services to the best of their capability.

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4. Province feedback mechanisms for external and internal clients – as part of the Citizen’s Charter, clients should be encouraged to give feedback on how civil servants fare; this would help government employees improve their services.

5. Publication of government projects and status of fund disbursements – this should encourage government agencies to be transparent with their funds. As the public is informed, they will also be involved in priorities of government through project spending. Accountability will also be inculcated in government agencies to ensure that projects are seriously implemented and completed on time.

H. Electoral Reform Objective Free, honest, orderly, and peaceful elections Targets 1. To update voter’s list for every local and national elections 2. To drastically decrease number of gun ban violators 3. To have continued with an automated electoral process Objective No more rampant vote-buying Targets 1. To update periodically the voter’s list 2. To increase number of civil society organizations accredited for involvement in the electoral process Strategies 1. Prosecute violators or offenders – hardly had there been instances of violators of election-related concerns such as vote buying, electioneering, and the like being punished; this has become acceptable to some extent in society. Serious prosecution of violators would minimize such practices.

2. Awareness and orientation seminars on possible sanctions for violators – young voters should be informed about the seriousness of such sanctions.

3. Partnership with civil society organizations in reporting and acting on various complaints – due to the limited government personnel in charge of overseeing election-related concerns, a strong partnership of volunteers and civil society organizations should be an effective alternative to help promote safe and honest elections.

4. Partnership with media – the role of media is vital in disseminating information, creating awareness, and feedback mechanism for any unfavorable actions during elections. This would maximize exposure of election fraud that can be speedily acted upon by concerned agencies.

I. Administration of Justice Objective Speedy and fair administration of justice Targets 1.

2.

3.

4.

Availment of witness protection program for interested witnesses Expedite resolution of cases Reach a 1:1+1 ratio in escorting Reach a 1:7 ratio in custodial

Objective Speedy and fair action and resolution on human rights cases

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Targets 1. To speedily act and resolve all human rights complaints 2. To achieve a fair and timely resolution in HR cases Objective A smooth and productive integration of parolees and probationers in the local community Targets 1. To give justice to all who needs it 2. To fully integrate all probationers and parolees in the local community Strategies 1. Strict implementation of the witness protection security and benefit program – strengthening the implementation of this program would build the confidence of witnesses and encourage reluctant ones to give their testimony without fear. Success stories on this program would also encourage more witnesses to come out and testify against the accused.

2. Hiring and appointing of additional judges and staff and creation of more trial courts – creation of additional court rooms with corresponding judges and manpower should help spread the load on the number of cases filed in the Region. It should also help facilitate quick resolution of cases due to reduced workload.

3. Segregation of juvenile and women detainees and impose penal sanctions for violation of such provision – juvenile and women should be separated from regular detainees to improve safety and reformation. Imposition of sanction for violations of this law would enforce strict provision of separate cells to accommodate concerned detainees.

4. Strengthen the linkages between GO, NGOs, and civil society to provide more budget for erecting new jail cells – establishing linkages with foreign organizations would help fund the construction of new facilities such as jail cells that would provide a more humanitarian environment for detainees.

Good Governance Priority Programs and Projects The following programs and projects would be undertaken to achieve this sector’s targets for the prescribed years. The key word is strict transparency in all government dealings.

1.

2.

3.

4.

Systems on Competency Assessment for Local Governments (SCALOG) Local Governance Resource Center Local Government Performance Management System Capability Building Programs/Activities a. Tax revenue collection b. Real estate assessment c. Investment generation d. Barangay Governance and Development Program e. Philippine Government Electronic Procurement System f. Preparation of FS, project identification, and enrolment of projects to PPP g. Rights based approach to planning h. Application of conflict sensitive techniques in planning 5. Infrastructure Projects a. Construction of new jail cells 6. Development of Information Systems a. Sangguniang Information System (SIS) b. Financial Management Information System (FMIS), Human Resource Management Information System (HRMIS), Legislative Tracking System (LTS), Real Property Tax Information System(RPTIS) c. Business Permits and Licensing System

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7. Intensified enforcement of the audit program 8. Moral Recovery Program 9. National Honor Awards Program 10. Voter’s awareness programs one month before election 11. Special programs of the region in the collection of excise tax and VAT on forest products (code name: MILO) 12. Rationalization Plan 13. Revenue Integrity Protection Service (RIPS) 14. Run After the Smugglers (RATS) 15. Run After Tax Evaders (RATE) 16. Tax Administration and Computerization Project (BIR’s Integrated Tax System) 17. Non-Intrusive Container System Project (NICSP) (BoCs) 18. Super Green Lane (BoCs) 19. Advocacy activities to NSO on database segregation of cities 20. Local conflict transformation and legal aid

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Chapter 7 : Social Development I. ASSESSMENT AND CHALLENGES

While the region managed to improve some areas in the social sector, for instance, in nutrition among children and early childhood care and development, clearly, there are still subsectoral gaps that need to be addressed. At the heart of the development efforts is the collective aspiration to uplift the living conditions of the Caraganons, especially the marginalized segment. Given that basic social services have yet to reach the priority target groups, the challenge lies on improving delivery of services, particularly in education, health and nutrition, shelter, and social security and safety nets.

A. Education Sustaining progress in early childhood education Early childhood is a phase in human life when tremendous growth across all areas of development is experienced.

The Early Childhood Care and Development (ECCD) system of government, as provided for by Republic Act 8980, warrants the provision of basic holistic needs of young children, namely: health, nutrition, early education, and social services.

Figure 7.1. Day Care Centers and Preschool Classes for SY 2008-2009 and 2009-2010

Table 7.1. Early Childhood Education by Gender, Caraga, SY 2008-2009 and 2009-2010

Area and Sex

Official Age Group Population (4-5 y.o.)

Total Enrollees

2008-09

2009-10

Gross Enrollment Ratio (GER) (In %) (Preschool and DCC) 2008- 200909 10

Caraga

142,916

90,824

107,664

64

75

Female

69,538

45,524

53,817

65

77

Male

73,378

45,300

53,847

62

73

Sources:: DepEd-13 and DSWD-13.

Source: DepEd 13

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Day care centers and preschool classes are in place to prepare the young children for formal schooling specifically those belonging to the 4 to 5-year-old age group. Statistics show that 75 out of 100 young children were enrolled in either day care centers (DCCs) or preschool classes for SY 2009-2010 (Table 7.1). For every 100 girls, 23 stayed home while the rest were exposed to school-type environment. In the same manner, for every 100 young boys, 27 were not able to set foot in preschool and/or day care centers. The gross enrolment ratio (GER) in 2004 stood at 57 percent translating to a GER target of 64 percent in 2010 (Figure 7.1). Therefore, the performance of the early childhood education was within the target indicated in the Caraga Regional Development Plan, 20042010 that was to increase the gross enrolment ratio by 2 percent annually.

The providers of early childhood education (ECE) consisted of 1,265 preschool classes in complete elementary schools, 287 in private preschools, and 1,848 DCC facilities spread in the barangays throughout the region.

Of the total DCCs, 44 percent were accredited, 29 percent had not yet been accredited while the three-year accreditation of the remaining DCCs had already expired. The low accreditation coverage should be addressed to ensure the standard and quality of early childhood education across the region; more is not always better.

Although there were more day care facilities than the total number of barangays in the region, still, 62 barangays did not have DCCs as the areas with larger populations of young children were given priority. The clustering approach was applied to barangays with few young children to maximize the resources of DCCs. This approach, although practical, was contrary to Republic Act 6972, the Barangay Level Total Development and Protection of Children Act that require all local government units to have a day-care center in every barangay/village. The access to DCCs by the marginalized sector located in rural and/or remote areas remains a challenge. This calls for the strengthening of the functions of the Barangay ECCD Coordinating Committee and/or the Barangay Council for the Protection of Children (BCPC), created under Presidential Decree 603.

A remarkable education start The remarkable improvement of the early childhood education within the six (2004-2010) year period reflects the concerted efforts of government, the non-government organizations (NGOs), peoples organizations (POs), religious groups, and government-owned and -controlled corporations (GOCC/s) that provided funds for the creation and maintenance of DCCs and other voluntary support to secure the right of children to education, special protection, and care. The increasing support of such entities is crucial in meeting the continuing challenges of the ECCD, namely: to attain the universal coverage for preschool for five-year-olds and to increase coverage of ECE to 85 percent at the minimum by 2016.

Overcoming low performance in elementary and secondary education The education indicators for Figure 7.2. Elementary and Secondary Participation Rates, Caraga do not look promising.

SYs 2001-2010 with targets by 2015-2016 For one, the participation rate in both elementary and secondary levels did not improve during the 10-year period, 2001-2010. The declining trend of elementary participation rate, although slight, would redound to a very low probability of attaining the 100 percent target per commitment to the Millennium Development Goals (MDG) to achieve universal access to primary education by 2015.

Source: DepEd-13.

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The worst situation could be gleaned in the participation rate in the secondary education where at least 50 out of every 100 students between 12-15 years old could hardly enroll in high school in the last 10 years. This depicts a low quality of human resource in the region. The EFA (Education For All) target of 75 percent for SY 2014-15 and 80 percent for SY 2015-16 post an urgent need to impose more effective measures to increase enrolment and keep students in school.

Figures 7.3. and 7.4. Elementary Cohort Survival and Completion Rates, Female and Male, Caraga, SYs 2003-2004 to 2009-2010 Figure 7.3.

Figure 7.4.

Source: DepEd-13.

The cohort survival rate in the elementary education slowly picked up from 60 percent in SY 2003-2004 to 67 percent in SY 2009-2010. This illustrates that from a cohort or group of 100 Grade 1 pupils, only 67 pupils reached Grade 6 (Figure 7.3). However, only 65 of said pupils completed elementary within six straight years (grade 1 to grade 6) as reflected in the completion rate for SY 2009-2010. The MDG target for cohort survival rate in the elementary education of 82.25 percent by 2015 is stipulated in the 2007 first Caraga Regional Progress Report. With the slow rate of progress, said target could hardly be achieved unless the education sector, the movers of social welfare, and the health and nutrition subsectors as well as the concerned local government units would closely work together to provide sufficient food and other basic needs to children from poor families. Relatedly, female cohort survival rate and completion rates for SY 2009-10 stood at 72 and 73, while the performance of male pupils only registered 59 and 61, respectively. This shows that there were more female pupils who religiously reported to school compared to male pupils (Figure 7.4).

Figures 7.5. and 7.6. Secondary Cohort Survival and Completion Rates, Female and Male, Caraga, SYs 2003-2004 to 2009-2010 Figure 7.5.

Figure 7.6.

Source: DepEd-13.

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Figure 7.7. Elementary and Secondary Drop-out Rates, SYs 2003-2004 to 2009-2010

A comparable performance can be gleaned in the secondary education. The cohort survival rate and the completion rate show volatile movements in the past years but clearly inched upward specifically for SYs 2007-10 (Figure 7.5). For SY 2009-10, out of a cohort/group of 100 first year high school students, 73 reached fourth year (Figure 7.6). The completion rate though stood at 70 percent. The cohort survival and completion rates for female students were slightly higher than their male counterparts. Comparing the performance of elementary and secondary levels relative to cohort survival and completion rates, it can be concluded that the coping capability of high school students to struggle and complete secondary education was better off than the elementary pupils to complete their elementary education.

Source: DepEd-13

The drop-out rate in the elementary increased from 6.04 percent in SYs 2007-08 to 7.84 percent in SY 2009-10 (Figure 7.7). A similar trend is reflected in the secondary education when the dropout rate increased from 8.5 percent to 9.69 percent within the same period, SYs 2007-10. Other than the obvious reasons such as poverty and the call for the sustained provision of social services,operators of computer games and internet cafes should be strictly regulated during school hours to minimize cutting of classes which redounds to incidents of school drop-outs. The failure of parents and guardians in monitoring the activities of the children as well as peer pressure could also aggravate the situation. Advocacy and awareness in the importance of education especially in poverty stricken areas should be addressed.

The tangible necessities Among the tangible necessities that should be fully met to improve services in basic education are the provision of adequate facilities. A total of 92 private schools and 1,608 public schools offered elementary schooling; of the latter, 86 percent had complete public elementary education. On the upper level, 94 private schools and

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317 public schools offered secondary education; the latter having 68 schools that offered technical-vocational education. There is an urgent need to lobby for fund allocation to upgrade the 225 schools that only offer primary or incomplete primary education. Tech-voc schools are in such bad condition that these cry for adequate facilities and technically skilled teachers who are essential to produce competitive and productive learners.

Classroom and seat needs Although there were notable efforts to address the tangible needs of the education sector by constructing 238 classrooms and repairing 1,717 more, it failed to close the gap of the computed school shortage that had to seat 41,473 elementary students and 72,879 students in the secondary for SY 2009-2010.

Teacher needs Rational distribution and shortage of teachers is a continuing challenge for the education sector. The actual number of elementary teachers at 11,543 was 412 more than the current requirement of 11,131 resulting to a regional aggregate of 1:33 teacher-pupil ratio. The imbalance distribution of teachers is highlighted in the school-to-school inventory that actually shows a shortage of 1,210. The redeployment of teachers to schools that truly need their services would resolve the shortage and make available the 412 excess teachers to accommodate new entrants in elementary education. For the secondary level, teacher shortage more than doubled that of elementary at 2,485. Of the 4,172 secondary teachers, 218 were found to be subject for redeployment.

To meet the ideal teacher-student ratio of 1:40, the government needs to hire 2,267 teachers. The divisions of Agusan del Sur and Surigao del Sur demand immediate attention topping the shortage list at 747 and 513, respectively.

The divisions of Bislig City and Butuan City are noted for their equitable distribution of secondary school teachers. A liberal approach in the application of the Localization Law may facilitate redeployment of teachers and employ the most qualified applicants for teaching positions. The said law gives priority to applicants residing in the locality where teaching positions are open.

Textbook needs The ideal textbook to pupil ratio is 1:1 by providing a complete set of textbooks for each pupil/student. However, in Caraga, the ratio is 1:2 meaning one book is shared by two pupils at the elementary level. The situation at the secondary level is even worse whereby a textbook is shared by at least three students. In 2008, the region needed 832,547 textbooks that would have provided each student with a complete set as this is the basic requirement to improve the quality of education at all levels and reach out to wherever the learners are.

Addressing the skill/competency needs through the TVET In line with the priority of government which is job creation, the TESD subsector adopted the Technical Vocational, Education and Training (TVET) system to equip the middle-level labor force with competencies and skills that would enable them to find livelihood or prepare them adequately for domestic and global employment.

From 2004 to 2009, the TVET registered 290,609 graduates from its four delivery modes of which a large 74 percent came from the rural development programs leading the graduates to livelihood and self-employment opportunities. Roughly 20 percent of these graduates availed of the school-based programs. Enterprise-based programs such as apprenticeship, learnership, and dual training contributed 3 percent while center-based

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Figure 7.8. Technical Vocational, Education and Training (TVET) Program, Caraga, 2004-2009

Source: TESDA-13.

programs undertaken in the TESDA (Technical Education and Skills Development Authority) training centers contributed about 3 percent.

Clearly, the miniscule proportions in the latter programs portray a glaring imbalance of skill visà-vis job. Majority of the trainees in the priority sectors such as agri-fishery, ICT, tourism, and health were females while males dominated the construction automotive sectors. In totality, 57 percent of the TVET trainees were females while males registered 43 percent.

The Competency Assessment and Certification of TVET graduates which is conducted by TESDA ascertains the level of skills of workers in their areas of specialization. The National Certificate or the Certificate of Competency (COC) serves as evidence of international competence in a particular occupation.

A tremendous increase of the labor force availed of the TVET programs from 2004-2009. Of the 98,451 persons in the labor force who took advantage of the TVET in 2009, 3,748 were scholarships offered by government through its various programs. Twenty-four percent or 23,720 of the total trainees got COCs. Despite this, a mere 7 percent or 7,056 are said to have found employment. The low number could be due to the poor tracking method of TVET graduates. Efforts should be geared at strengthening the TVET graduate tracking mechanism. Policies along this line are stipulated in Item 2, Section 13 – Referral and Tracking of Graduates of the TESDA Circular No. 45, series of 2007 re: “Technical Vocational Institutions (TVIs) are required to submit to the TESDA POs/DOs the employment monitoring report six (6) months to one (1) year after graduation”; and in the TESDA Circular No. 20, series of 2009 re: General Policies Governing all TESDA Scholarship Programs. Based on said policies, the graduates will be monitored accordingly depending on the date of their graduation before conclusion could be drawn that they have found any employment opportunities with the acquired competency/skills.

Skill-job mismatch persists Nonetheless, the skill gap is palpable in Caraga as workers who are employed in the small and medium enterprises (SMEs) do not have the proper training in their assigned field. This situation leads to low productivity as well as poorer wages and inadequate working conditions. With the intervention through TVET, the labor force somehow gains competency on certain qualifications; still, the mismatch between skills given by the TVET institutions and those demanded by employers still persists. The lack of convergence and interfacing mechanism between the trifocalized education systems of government such as the Department of Education (DepEd), the TESDA, and the Commission on Higher Education (CHED), further complicates the situation. A thorough and continuing independent study on the demand and supply of the labor market is critical to come up with an updated menu of skills that should be provided by TVET institutions to address the dynamic needs of the industries.

Limited scholarship grants in higher education Higher education provides advance knowledge in various fields to produce highly trainable graduates, globally competitive professionals, high-level technical manpower, and educated entrepreneurs. Moreover, higher education promotes job creation and productivity development through generation, transfer, and utilization of research outputs.

Private and public higher education institutions (HEIs) provided the delivery of higher education. The HEIs in the region was composed of 42 private institutions and 15 state/local universities and colleges (SUCs/LUCs) (Figure 7.9).

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Figure 7.9. Higher Education Institutions, Public and Private, 2009-2010

Source:CHED-13.

Figure 7.10. Enrolment for AY 2009-2010

Source: CHED 13

Total enrollees in the tertiary for academic year (AY) 2009-2010 reached 50,999 with enrollees comprising 28,281 or 55 percent from private institutions and 22,718 or 45 percent from public institutions (Figure 7.10).

Distribution of students in HEIs Figure 7.11. Percentage distribution of tertiary students, Caraga, AY 2009-2010 Butuan City had the biggest number of HEIs – 16 – that had the largest combined enrolment at 35 percent followed by Surigao City that had six HEIs capturing 24 percent of tertiary students. In Butuan, the three institutions that comprised the three largest number of tertiary students were Fr. Saturnino Urios University (5,234), Caraga State University (4,229), and the St. Joseph Institute of Technology (3,149) (Figure 7.11).

In Surigao, it was the Surigao State College of Technology-Main in Surigao City that registered the highest number of enrollees at 5,367. The Surigao del Sur State University and its campuses that registered a consolidated Source: CHED-13 enrolment of 7,103 provided the higher education in Surigao del Sur. The Agusan del Sur State College of Agriculture and Technology and the Philippine Normal University-Agusan absorbed most of the tertiary students in Agusan del Sur. With an average annual growth rate of 5 percent, the enrolment in baccalaureate courses by AY 2015-16 is expected to reach 68,675 given the continuing support of all concerned.

What courses students preferred Enrolment by major discipline shows the preference of students as follows: Bachelor of Science in Business Administration (BSBA) got 20 percent of the total enrollees; Education, Science, and Teacher courses got 17 percent; and IT-related disciplines got a 16 percent share (Figure 7.12). Engineering and Technology got a share of 10 percent while other disciplines had less than 10 percent of the total enrollees. The programs that had high offerings were Bachelor of Science in Information Technology, Bachelor of Science in Hotel and Restaurant Management,

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Bachelor of Science in Business Administration, and the Bachelor of Secondary Education/ Elementary Education (BSED/ BEED). B.S.-IT and B.S.-HRM had steady positive growth over the years. B.S.-B.A. increased in offering as HEIs found it easier to operate due to lesser requirements for deans and program chair while students preferred the said program for its minimal laboratory requirements, for subjects that develop entrepreneurial ability, and for its wide job opportunity.

On the other hand, the steady Source: CHED-13 demand for teachers made BSED/BEED a bright choice for students. The education courses were offered by both the public and private HEIs while BSBA and BSHRM were mostly offered by the private HEIs. Figure 7.12. Enrolment by major discipline by percentage

Nursing declines, HRM and IT on the incline For the period mentioned, the nursing course had been a consistent favorite but stops in 2008 when the decline in BS Nursing starts. B.S.-HRM and B.S.-IT, meanwhile, are on the incline. The demand for engineering course also starts to increase specifically in the HEIs in Surigao City. Accountancy, engineering, and IT courses were preferred by students who have above average IT hard skills as these are desirable for future Business Process Outsourcing (BPO) industry while the HRM course complements the growth of the tourism industry in the region. Moreover, engineering graduates find job opportunities in the booming mineral industry. Saint Paul University-Surigao, in partnership with the Surigao Chamber of Mines and the Caraga State University with support from the SR Metals Corporation, is offering mining engineering course. Most of these students are industry-sponsored scholars who are set to spend on-the-job training in the mining companies operating in the region like the Philsaga Mining Corporation and the Taganito Mining Corporation among others. Associate in Material Science and Engineering is also a new course offered by the CSU which aims to provide the mining industry with technically-equipped graduates. Technical graduates in automotive and welding courses have also found jobs in the said industry.

A reversal of preference in the agriculture discipline It is the height of irony that Caraga, an agriculture region, would find its students avoiding courses in line with agriculture, fishery, and forestry. As data reveal, only a few public HEIs/SUCs offer these courses with small percentage of enrolment at that. The declining trend of enrolment began to reverse in 2009 when scholarship funds poured in for the agri-fishery program as provided by the National Agriculture and Fisheries Education System (NAFES) under the Agriculture and Fisheries Modernization Act (AFMA) of 1997. The congressional representatives also provided scholarships annually to deserving but poor students under the Priority Development Assistance Fund (PDAF).

The One-Town-One-Scholar Program is on its second year of implementation but the completion rate of scholars dropped recently as the P15, 000 support for tuition, transportation, and living allowances per semester was not enough to defray increases in tuition and other school fees plus increases in the cost of living. In view of the unforeseen circumstances, there is a need to provide additional support to current scholars and increase scholarship slots to accommodate qualified new entrants for tertiary education.

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B. Cultural Communities and Vulnerable Sectors Indigenous Peoples still disadvantaged in social services The National Commission on Indigenous Peoples (NCIP) stated that the Indigenous Peoples (IPs) constitute a significant segment of the population of Caraga Region. They live in the dignity of their indigenous culture that is the hallmark of their identity. These communities are composed of five major tribal groups found in the various parts of the region, namely: Banwaon, Higaonon, Mandaya/Kamayo, Mamanwa, and Manobo.

In recent years, initiatives have been made to uplift the welfare of the IPs, but, a lot of work must be done for them to have a better quality of life. They are vulnerable as targets of insurgency recruitments and they tend to be manipulated and exploited. They are disadvantaged when it comes to their educational status, health, and access to employment opportunities. The conflicts on land tenure security, delayed infrastructure development, leadership conflict among IP leaders and the strong and appropriate implementation of the Indigenous Peoples Rights Acts (IPRA Law) are the challenges currently facing the IPs; the presence of non-state actors in ancestral domain areas is also an issue.

The traditional health practices and beliefs without proven scientific value and untrained traditional practitioners continue to be part of the IP’s health delivery system.

On the other hand, from 2006-2009 a total of 18 Certificates of Ancestral Domain Titles (CADT) had been issued with a total area of 478,885.85 hectares. A notable increase could be noticed in the issuance of CADT in 2008 and 2009 due to the presence of foreign funding institutions and NGO support that facilitated the fast tracking of CADT issuances.

Reducing the number of children in conflict with the law In 2009, the number of cases of children in need of special protection cases served by the Department of Social Welfare and Development (DSWD) rose by 57 percent, this, after a four-year downtrend starting 2005 (Table 7.2).

From 2004-2009, among the age brackets, those in the ages 14 to below 18 posted the highest number of cases specifically for years 2004, 2005, 2006, and 2008. However, for the total number of cases, there had been a downtrend starting in 2006 to 2008. The downward trend is due to the devolution of the function of serving the CNSP from the DSWD to the local government units (LGUs). The number of Children in Conflict with the Law (CICL) also decreased from 95 in 2006 to 51 in 2009 according to the Philippine National Police (PNP) 13.

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Table 7.2. Number of children in need of special protection, Caraga, 2004-2009

Age Bracket

2004

2005

2006

2007

2008

2009

0 to less than 1

4

2

2

4

5

7

1 to below 5 5 to below 10 10 to below 14 14 to below 18 18 and above Total

6 30 48 156 244

7 41 40 225 315

2 8 26 99 137

12 16 2 10 44

3 6 7 11 32

9 13 8 5 33 75

Source: DSWD XIII.

Declining child development index in Caraga Based on the 2006 Child Development Index (CDI) released by NSCB in June 2009, Caraga’s human development of children had declined especially in recent years between 2003 and 2006. The index, a composite of health, education, and quality of life indicators, ranged from 0 to 1. The higher the index, the better the performance.

As for Caraga, it went down to 0.664 in 2006 from 0.670 in 2003. Both estimates were lower than the index for year 2000 (0.694). Among the regions, Caraga and ARMM were consistently at the bottom in terms of CDI. This worrisome trend indicates the need for urgent measures to improve the lives of children in Caraga.

Rising poverty and number of poor youth The Annual Poverty Indicators Survey reveals that three out of 10 Filipino youth belong to poor families. Among the 16 regions in the country, Caraga has the highest incidence of youths belonging to poor families with 54 percent (Figure 7.13). This might be the reason of the proliferation of child and youth prostitutes in public places and the proliferation of prohibited drug users and pushers in Caraga.

Figure 7.13. Percentage Distribution of Youth by Region and Income Stratum of Family, Lowest 40%, Philippines, 2002

Note: Families in the lowest 40 percent income group refers to the bottom 40 percent of the total families listed in descending order of family income. The upper 60 percent income group refers to the upper 60 percent of the total families in the income distribution.

Source: State of the Philippine Population Report, 2002.

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There is a need to advocate peace and development in Technical-Vocational Education and Training (TVET) curriculum and in schools. This is to avert, among others, out-of-school youths being targeted for recruitment of unlawful activities, e.g. child warrior, as available data would show.

High incidence of violence against women in Caraga To be woman places one in a disadvantaged position thus limiting her access to resources, including the ability to promote and protect her basic human rights. In 2010, the total population of women was 1,302,500, which was about 48 percent of the region’s population.

The 2008 National Demographic and Health Survey reveals that 6.7 percent of women in Caraga had experienced physical violence during pregnancy and 27.2 percent had experienced physical violence since the age of 15. This indicates that physical violence in Caraga is higher than the national average of 20.1 percent. There were 18 out of 100 women aged 15-49 in Caraga who experienced sexual violence. The perpetrators of physical and sexual violence are the current husband/partner and current or past boyfriend.

For the past years, the RDC-Gender and Development Coordinating Committee (GADCC) had been advocating Gender and Development (GAD) and women empowerment at the regional level. However, there is still a need for a more dynamic promotion of GAD and awareness of the women-related laws at the LGU level and in private establishments. Furthermore, there is a need for improved protection of women employees in the private sector. The slow institutionalization of the 5 percent GAD budget by many regional line agencies and LGUs to support the programs and projects in alleviating women’s condition is still a challenge until now.

Non-implementation of laws for persons with disabilities (PWDs) The PWDs make up 1.45 percent of Caraga’s population in 2000 (NSCB). The most common types of disability in the Caraga Region are low vision, partial blindness, and quadriplegic. More often than not, the reasons for their disability are lack of maternal and child health care, genetics, and lack of education and information on proper nutrition and other health information.

Over the years, this group had been facing the same issues and concerns such as lack of mechanism on the prevention, early detection, and intervention of disabling condition of children, lack of schools/special education center for PWDs both for children and adult PWDs. The role of the LGUs in planning and budgeting is still very critical in addressing the vulnerable groups’ concerns particularly the PWDs. Although there are mechanisms and structures established through Republic Act 7277 or the Magna Carta for Disabled Persons and Batas Pambansa 344 or the Accessibility Law, still, there is need for full enforcement of these laws at the regional and the LGU levels to get maximum results. It had been observed that during the budgeting period, budget for PWDs was well stipulated in the agencies’/LGUs’ budget proposals and yet, in the utilization of those budgets, only a minimal amount goes to the programs and projects of PWDs. The institutionalization of the 0.5 percent budget for PWDs is still a clamor until now.

Inadequate foster care facilities for older persons Another group in need of attention are the older persons. Based on the 2000 Census of Population, the 60 and above population totaled 124,283 of which 50.89 percent are female. An estimated number of 13,473 older persons were issued the Senior Citizen’s ID from 2005-2009 (DSWD). However, they are disadvantaged when it comes to foster care especially the abandoned and neglected elderly because there are inadequate mechanisms and facilities for foster care. The absence of geriatric wards/health facilities for the elderly is another concern.

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The lack of profiling system was also identified as another concern of the elderly. However, there is a move for the online profiling of the senior citizen that will be spearheaded by the DOH and DSWD. On the enforcement of the RA 9257 or the Expanded Senior Citizen Acts of 2003 especially on discounts/privileges in transport utilities and purchase of medicines, most of the elderly had availed these discounts but there were some transport services which did not implement discounts, e.g. habal-habal (motorcycle tandem) and bangka (boat). All other means of transport were implementing RA 9257. On the discounts on purchase of medicines, the older persons can avail the discount provided that he/she presents his/her senior citizen ID.

C. Health and Nutrition High maternal mortality While the region’s child health situation is contained, there is a need to upscale the availability and quality of health services catering to mothers and pregnant women in Caraga. The region’s maternal mortality was the second highest in the country, next only to ARMM in 2003. In 2009, one maternal death per 1,000 live births was recorded, which indicates a low probability of attaining our MDG target of only 54 maternal deaths per 100,000 live births (Figure 7.14).

Figure 7.14. Infant under five and maternal mortality rate, Caraga, 2004-2009

Source of basic data: DOH-13.

There were factors that contributed to the increase in maternal deaths in the region.

Although there had been campaigns for women to deliver in health facilities and attended by health personnel, data would show that a significant number of deliveries were attended by trained “hilots” or traditional birth attendants (TBAs) (Figure 7.15). More than half of these birth deliveries were attended at home against those attended at the hospital and other health facilities.

Figure 7.15. Birth delivery by place vs. by attendance, 2004-2009

Source of basic data: DOH-13.

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Sustaining the efforts in improving child health On the average, infant deaths comprised 54 percent of under-five deaths from 2004 to 2009. Among the interventions to keep infant mortality rate (IMR) low was to look into the causes of infant deaths and morbidity.

The leading causes of infant deaths included pneumonia, sepsis, congenital defect, diarrhea, and others (Table 7.3). With the pace of progress of 1.27 percent infant mortality reduction annually and 6.89 IMR in 2009, the region has a probability of reducing infant mortality to 8.28 deaths per 1,000 live births in 2015. Achieving the under-five’s MDG target of 8.7 deaths per 1,000 live births in 2015 is also high given the 2.21 percent pace of progress and 10.59 deaths in 2009.

Among the provinces, the Dinagat Islands had the highest average both in infant and under-five deaths from 2004 to 2009: it had 12 infant deaths and 18 under-five deaths per 1,000 live births for the period. Butuan City had the highest infant and under-five deaths among the three cities for the same period with 11 infant and 20 under-five deaths per 1,000 live births. This was primarily due to the city’s large population and high referral of cases, including from neighboring municipalities and provinces.

Table 7.3. Leading causes of infant mortality, average rate 2002-2006 and 2007-2008 Causes

2008 No.

1. Pneumonia 2. Sepsis 3. Congenital defect 4. Diarrhea 5. Pre/post maternal 6. Accident all forms 7. RDS/SID 8. Malnutrition 9. Meningitis 10. Tetanus/NT

2007

57 54 37 34 24 24 17 7 5

Rate 1.20 1.10 0.80 0.70 0.50 0.50 0.40 0.10 0.10

7

0.10

No 81 42 30 40 36 20 14 15 9

Rate 1.91 1.00 0.71 1.00 0.85 0.47 0.33 0.36 0.21

5

0.12

Ave. Rate (per 1000 l.b.)

Ave. Rate (per 1000 l.b.)

2007-2008 86 47 48 38 38 34 4 8 17

2002-2006 2.7 1.2 1.2 0.95 0.95 0.9 0.1 0.2 0.42

4

0.1

Source: DOH-13.

Inadequate health services Majority of the total 55 hospitals in the region in 2007 were government hospitals that served Caraga’s population in general while 582 barangay health stations (BHS) served the rural and remote areas. On hand to supplement the BHS were the 80 rural health units. In 2008, the region’s bed to population ratio was 1:1,318 against the ideal ratio of 1:1,000, which indicates the lack of hospital beds to accommodate a growing population (Table 7.4).

Table 7.4. Health facilities in Caraga, 2004-2007 No. of hospitals by type

2004

2005

2006

2007

Total

54

54

57

55

Government Private No. of barangay health stations

33 21

32 22

33 24 547

33 22 582

No. of rural health units

80

80

Source: 2009 Philippine Statistical Yearbook.

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With the region scraping almost the bottom in relation to all regions, it should come as no surprise that one of the things that the region is in need of are medical personnel who will tend to their health needs. In 2009, the doctor to population ratio in Caraga was 1:29,086 against the standard ratio of 1:20,000. Its nurse to population ratio was one nurse to 22,740 population. An overworked medical personnel could only mean an effect in the quality of service they offer. It would not be inaccurate to say that the region also lacked medicines, health supplies, facilities, and the like (Table 7.5).

Table 7.5. Health personnel to population ratio, 2009 2009 Actual

Standard

Doctors to population ratio

1:29,086

1:20,000

Nurses to population ratio

1:22,740

1:15,000

Rural health midwives to population ratio

1:3,479

1:5,000

Source: DOH-13.

Medicines still not accessible to vulnerable sectors Accessibility to essential medicines is measured by having at least 20 essential drugs within one hour away by walking between a distance of a household to the nearest facility or medicines outlet. Using medium series projection of the National Statistics Office (NSO) with Caraga’s population of 2,549,400 and formula used by DOHNCPAM (Department of Health-National Center for Pharmacist Access and Management), only 68.70 percent of Caraga’s population was being served by the Botika ng Barangays (BNBs) against the MDG target of 85 percent by 2015. This indicates that essential medicines had not been very accessible yet to Caraganons aside from making it more affordable. Hence, there is a need for BnBs to reach out to far-flung and poor barangays (Table 7.6).

The government had already resorted to legal measures such as the implementation of the Cheaper Medicines Law and Generics Law. There are 21 identified essential drugs or fast moving drugs based on their high demand.

These are bought by majority of the Filipinos, and Caraganons, in particular, for treatment of common ailments like colds, flu, headache, and others, and for other first aid treatment. A majority of the establishments involved in food and drugs distribution were private and commercial – 561 establishments in 2008, based on data from 2009 Philippine Statistical Yearbook, against 450 BnBs, which can sell up to 40 essential medicines and eight prescription preparations, from period 2003-2010.

Table 7.6. Number of BnBs and percent served, 2003-2010 No. of BnBs per Center of Health Development, Caraga (2003-2010)

Percent of Population Served

MDG Target

450

2010: 68.70%

2015: 85%

Source of basic data: 2010 Progress Report on the MDG.

Low access to reproductive health Only 38 out of 100 women of reproductive age in Caraga availed of contraception as a means of planning for the size of their family (Table 7.7). This contraceptive prevalence rate in 2009 was way below the MDG target of 75.92 percent. The 2008 National Demographic and Health Survey (NDHS) reveals that Caraga’s total fertility rate (TFR) was 4.3 for the three years preceding the survey while the desired TFR was 2.8. This indicates that the region’s population was growing. In 2007, Caraga’s population growth was 1.25 percent below the national figure of 2.04 percent.

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Table 7.7. Contraceptive prevalence rate, 2009, MDG 2015 target Province/City

2009

MDG 2015 Target

Caraga

37.8

75.92

AgDN

38.1

AgDS

53.3

SDN

27.4

SDS

34.6

PDI

21.9

BC

22.7

SC

35.0

BisC

48.0

Source: DOH-13.

The same survey reveals that the region’s total demand for family planning for women aged 15-49 was 77.8 percent but only 51.7 percent were met. It shows that there is still the issue of accessibility regarding methods of family planning.

Wide gap in health sanitation Since 1990, a lot of major rural water supply projects had been constructed to broaden access of people to safe drinking water. The efforts bore fruit as almost everyone now has a safe water source. By 2009, 91.2 percent of household had safe drinking water within their reach exceeding the 2015 MDG target (Table 7.8).

However, only 45.4 percent of households in the region had complete basic sanitary facilities, which is a far cry from the 85.9 percent target in 2015. The province with the lowest percentage of population with complete basic sanitary facilities is Surigao del Sur and Butuan City among cities. More efforts are needed to improve the level of sanitation in the region since low level of sanitation is a threat to public health.

Table 7.8. Percent with access to improved safe water supply and complete basic sanitary facilities, 2001, 2009, and 2015 MDG Target Indicator

Households with access to improved safe water supply (in %) Households with complete basic sanitary facilities (in %)

2001

2009

2015 MDG Target

70.61

91.2

87

45.4

85.9

Source: DOH-13

Malnutrition persists in the region With Caraga’s 45.5 percent poverty incidence among families in 2006, it meant that 46 of the 100 families in Caraga were poor. Poor families had low purchasing power to buy the basic necessities in life, including food.

Food comprised the bulk of the family’s expenditure at more than 32 percent based on the 2006 Family Income and Expenditure Surveys. This was compounded by the rising prices of food items and unemployment rate in the region.

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From 2003 to 2010, the region had not achieved much in improving the nutritional status of children aged 0-5. In 2008, 28.8 percent of children aged 0-5 years old were malnourished against 30.2 percent in 2003 (Figure 7.16).

The probability of attaining the 2015 MDG target of 17.05 percent is medium, requiring the region to decrease malnutrition at the rate of 0.06 percent or 1.68 percentage points from the 2008 figure, i.e., 27.12 percent in 2009, 25.44 percent in 2010, and so on. The problem on malnutrition also affects the region’s performance in achieving other MDG goals.

Nutritional status in the preschool and elementary, and secondary both recorded an improvement for school years 2008-2009 and 2009-2010 (Table 7.9).

Table 7.9. Nutritional status of preschool and elementary, and secondary SY 2008-2009 and SY 2009-2010 Particular Below normal Normal Above normal Particular Below normal Normal Above normal

Elementary and Preschool, Weight /Body Mass Index SY 2008-2009 SY 2009-2010 21.15% 17.94% 77.70% 81.11% 1.15 0.96% Secondary, Weight/Body Mass Index SY 2008-2009 SY 2009-2010 12.22% 10.59% 86.73% 88.22% 1.05 1.18%

% Change -15.18 4.39 -99.17 % Change -13.34 1.72 -98.88

Source: DepEd Annual Report CY 2009.

Lack of comprehensive knowledge about HIV/AIDS and other diseases The national situation on HIV/AIDS is alarming. From two new cases per day in 2009, the current average rate now is about five new HIV cases per day or one in every five hours based on the 2010 MDG report. This increase may be attributed to increased risky behavior and low coverage of HIV interventions. Results of the 2008 NDH Survey reveal that among women aged 15-49, only 18.7 percent of the respondents had comprehensive knowledge about AIDS although 96.5 percent had heard of AIDS. Moreover, there had been a shift to homosexuals with the most number of HIV/AIDS cases comprising 42 percent of the total 1,422 cases recorded by the Philippine HIV and AIDS Registry of the Department of Health National Epidemiology Center from 2007 to 2010.

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On the other hand, malaria had been reduced in the region. In 2009, Surigao del Norte, Dinagat Islands, and Surigao City were declared as malaria-free areas. The region recorded less than one case per 1,000 population at risk per year in 2008 and the annual malaria mortality rate is 0.04 per 1000 population.

Non-communicable diseases such as cardiovascular diseases, all types of cancer and diabetes have been included in the top causes of mortality in the region, indicating an epidemiological shift.

D. Shelter Increasing number of informal settlers in urban areas

Informal settlers are people staying in rent-free lot or house and lot without consent of owner or those without security of tenure. There had been an increasing number of informal settlers from 1991-2006 in the country. The Philippines’ 2010 Progress Report on the Millennium Development Goals reveals that concentration of informal settlers were in the highly urbanized areas of NCR, Regions VI, XII, ARMM, and Caraga despite the creation of other growth areas. Meanwhile, roughly 2 percent of urban population who were living in makeshift housing were mostly found in Regions IV-B, V, X, XII, NCR, and Caraga. This trend is expected to increase if efforts to provide enough shelter, especially by the local government units, to this vulnerable sector are not pursued, given that Caraga’s population is expanding especially in urban areas. These areas are where major in-migration usually takes place.

The country’s proportion of urban population living as informal settlers in 2006 based on 2010 MDG report was 5.42 while Caraga was 7.73, the fifth highest among the 17 regions. With 4.46 as proportion of urban population living in makeshift housing in the region as against the national figure of 1.94 in 2006, it was the highest in the country (Table 7.10).

Table 7.10. Informal settlers and population living in makeshift housing, 2006 2006 Caraga

Caraga’s Rank

National

Among Regions

Proportion of urban population living as informal settlers

7.73

5.42

5th Highest

Proportion of urban population living in makeshift housing

4.46

1.94

Highest

Source: Philippine Progress Report on MDG 2010.

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In an attempt to provide housing to a wider base, lending institutions offered enticing housing packages. There had been an increasing trend to the amount loaned by those with means to provide shelter for their families in the region from 2005 to 2009 (Figure 7.17). Although the trend of the housing take-outs was surging from 2005 to 2008, a decline was experienced in 2009 primarily due to the global slow down which also affected Caraga’s economy.

Figure 7.17. Amount of housing loans and take-outs, 2005-2009

Source: Pag-IBIG.

The estimated total annual housing need for Caraga, considering the 20042 0 1 0 population growth and 2000-2003 backlogs consisted of 14,516 h o u s i n g units, bulk of which was for the informal settlers/infra affected households (Table 7.11).

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Table 7.11. Housing demand and annual need per identified cities and municipalities Housing Demand/Needs

Classification

Backlog Location

I. Urban

II. Urbanizable

Butuan City

19,245

TOTAL

2000-2003 Pop. Growth

Population Growth

2,529

8,793

30,567

4,366

Surigao City

2,128

519

1,090

3,737

534

Bislig City

4,128

17

35

4,180

597

Agusan Norte

2,668

933

2,094

5,695

813

Cabadbaran

615

753

1,705

3,073

439

Magallanes

911

161

350

1,422

203

Nasipit

1,142

19

39

1,200

171

Agusan Sur

7,165

5,020

11,440

23,625

3,375

Bayugan

1,925

1,597

3,703

7,225

1,032

539

1,089

2,223

3,851

550

Prosperidad

2,627

1,303

3,087

7,017

1,002

San Francisco

2,074

1,031

2,427

Surigao Norte

265

8

17

290

41

Dinagat

265

8

17

290

41

3,847

858

1,951

6,656

951

Lianga

150

11

23

184

26

Hinatuan

246

148

309

703

100

3,451

699

1,619

5,769

824

Agusan Norte

599

956

2,200

3,755

536

Buenavista

399

807

1,873

3079

440

Kitcharao

200

149

327

676

97

4,714

7,993

1,142

Esperanza

Surigao Sur

Tandag III. Others

Informal Settlers/ Infra Affected

2004-2010

Annual Need

Agusan Sur

1,402

1,877

5,532

790

Talacogon

698

998

2,604

4,300

614

Trento

704

879

2,110

3,693

528

7,572

856

1,901

10,329

1,476

300

66

139

505

72

Mainit

3,000

31

63

3,094

442

Placer

2,141

317

718

3,176

454

616

367

820

1,803

258

Sison

1,515

75

161

1,751

250

Surigao Sur

3,949

272

567

4,788

684

Barobo

2,149

87

179

2,415

345

600

100

207

907

130

1,200

85

181

1,466

209

52,968

13,845

34,802

101,615

14,516

Surigao Norte Del Carmen

San Jose

Cantilan Carrascal TOTAL for Caraga Region

Source: National Statistics Office and Local Government Units.

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E. Social Security and other Social Services/Safety Nets Health insurance coverage targeting the poor

Health insurance coverage is one of the most important social protections for the poor household, characterized by poor health condition. With the rising cost of health services, the poor and vulnerable sectors are in an untenable dilemma every time they are ill and without the means to spare for hospitalization. The average cost of hospitalization as revealed by the 2008 NDHS was P16, 802.

One of the targets of government is to attain universal health insurance coverage, especially the indigents. Overall, membership registration to PhilHealth exceeded the targets from 2006-2009. While the target of PhilHealth registration for 2006 was 399,614, the actual coverage totaled 410,024 (Table 7.12).

Table 7.12. PhilHealth registration, Caraga, 2006-2009 Performance Indicators PHILHEALTH MEMBERSHIP REGISTRATION

Targets

Accomplishment

2006

2007

Government

60,976

64,462

3,066

Private

43,524

54,278

109,021

121,769

IPP-Regular IPP-KaSAPI Sponsored

174,974

2009

2006

2007

4,192

58,665

61,575

4,150

3,037

10,868

15,517

42,416

52,820

15,368

14,782

10,290

10,434

112,747

121,986

10,359

10,936

1,000

1,000

605

937

129,777

201,930

184,924

100,726

142,912

226,015

Plan 2.5

117,378

103,454

Regular

57,596

81,470

OWP

2008

2009

403

792

12,714

218

165

674

11,960

183

233

10,327

1,317

2,081

2,011

9,993

874

1,991

1,558

399,614

339,380

157,300

235,249

410,024

350,878

174,963

256,964

Lifetime TOTAL

84,840

2008

Source: PhilHealth-13.

As of 2009, a total of 1,220,787 beneficiaries, including indigents, were covered with health insurance exceeding the target of 1,107,091 beneficiaries. However, this was only 48.80 percent of the population covered using the medium series population projection of NSO in 2009 (Table 7.13).

The local government units in the region allocate for the coverage of indigents in their localities in sponsored programs. This is crucial since the indigents are the priority groups. There is a need to reconcile the National Household Targeting System (NHTS) used by concerned agencies and the Community-Based Management System (CBMS) used by the LGUs in order to effectively and efficiently implement health programs.

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Table 7.13. Number of PhilHealth beneficiaries, 2006-2009 Performance Indicators Estimated Beneficiaries

Targets

Accomplishments

2006

2007

Government

182,928

193,386

9,198

Private

130,572

162,834

IPP-Regular

327,063

365,307

IPP-KaSAPI Sponsored

874,870

424,200

2008

2009

2006

2007

2008

12,576

175,995

184,725

12,450

9,111

32,604

46,551

127,248

158,460

46,104

44,346

30,870

31,302

338,241

365,958

31,077

32,808

3,500

3,500

2,118

3,280

648,885

1,009,650

924,620

503,630

714,560

1,130,075

Plan 2.5

586,890

517,270

Regular

287,980

407,350

OWP Lifetime TOTAL

2009

1,411

2,376

38,142

654

495

2,022

35,880

549

699

15,491

1,976

3,122

3,017

14,990

1,311

2,987

2,337

1,533,300

1,185,845

728,833

1,107,091

1,585,233

1,253,244

807,727

1,220,787

Source: PhilHealth-13.

Empowering the vulnerable through agrarian reform For the farmers who till it, land is their ultimate wealth, their treasure. The extension of the CARPER law until 2014 gives a chance for many farmers to till a piece of land. A total of 33,386 hectares of land have already been distributed to 18,142 beneficiaries from 2004 to 2009.

Table 7.14. Land tenure improvement, 2006-2009 Performance Indicators

2006

2007

2008

2009

2006

2007

2008

2009

Area (in has.) distributed Agusan del Norte Agusan del Sur

5,000 627 1,900

6,500 1,323 2,577

7,800 2600 3000

2,373 302 988

5,232 684 1999

6,645 1359 2610

8,279 2933 3122

2,435 324 1091

Surigao del Norte Surigao del Sur PDI No. of Beneficiaries Agusan del Norte

584 1,889

500 2,100

500 1700

342 741

633 1916

541 2135

518 1706

276 744

2,630 400

3,750 432

3,696 1268

1,278 180

2,703 407

3,840 701

4,130 1262

1,405 202

Agusan del Sur Surigao del Norte

950 260

1,718 200

1200 500

660 202

974 282

1712 131

1542 459

616 211

Surigao del Sur

1020

728

236

1040

1296

867

376

PDI

1,400

Source: DAR-13.

Workers in the private sector in Caraga experienced only a minimal increase in their daily minimum wage rate (DMWR). From 2008 to 2010, there was only a P10 increase of DMWR in all the sectors. Non-agriculture sector had the highest DMWR of P243 in 2010, followed by workers in the plantation with P233. The increase in the basic wage was offset by the decrease in the cost of living allowance (COLA) from P23 in 2008; it dropped significantly to P13 in 2010.

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Table 7.15. Daily minimum wage rates, Caraga, 2008 and 2010 Effective June 20, 2008 Industry/Sector Agriculture Plantation Non-Plantation Non-Agriculture Retail and Service Employing 10 or less Employing more than 10 workers

Effective August 25, 2010

Basic Wage

COLA

Total DMWR

Basic Wage

COLA

Total DMWR

200 180 210

23 23 23

223 203 233

220 200 230

13 13 13

233 213 243

180

23

203

200

13

213

210

23

233

230

13

243

Source: RTWPB-13.

MDG Rate of Progress, 1990-2009, Caraga Region Millennium Development Goals

Baseline

Current Level

Eradicate Extreme poverty Proportion of population below subsistence threshold poverty threshold Proportion of families below subsistence threshold poverty threshold Prevalence of malnutrition among 0-5 yo (% underweight) Achievement of universal primary education

2003 21.7 44.7 2003 16.6 37.6 2003 30.2 1995-1996

2009 25.3 47.8 2009 19.7 39.8 2008 14.9 2008-2009

Average Rate of Progress

Required Rate of Progress

Ratio of Required Rate to Average Rate

2015 10.85 22.35

0.028 0.012

-2.4 -4.2

-87.1 -367.0

very low very low

8.3 18.8

0.031 0.010

-1.9 -3.5

-61.0 -358.9

very low very low

14.33

-0.084

-0.1

1.1

Target by 2015

Probability of Attaining the Targets

high

Elementary participation rate

93.01

76.0

100

-0.014

4.0

-284.3

very low

Elementary cohort survival rate Elementary completion rate current - (2008-2009) Promote gender equality and women empowerment Elementary participation rate

68.43

65.0

82.25

-0.004

2.9

-745.6

very low

66.79

64.0

81.27

-0.003

2.9

-895.8

very low

0.0 2000-2001

2008-2009

Male

86.78

74.0

100

-0.018

4.3

-235.4

very low

Female

93.27

75.0

100

-0.024

4.2

-170.2

very low very low very low

Secondary participation rate Male Female Reduce Child Mortality Rate Under-five mortality rate (per 1,000 livebirths) Infant mortality rate (per 1,000 livebirths) Improve maternal health Maternal mortality rate (per 1,000 livebirths) Increase access to reproducitve health services Contraceptive prevalence rate Halt & begin to revers the incidence of malaria & other diseases Malaria morbidity rate (per 100,000 population) TB morbidity rate current - (2005) Provide basic amenities Proportion of families with access to safe drinking water

0.0 50.54 57.23 2000

44.0 55.0 2009

100 100

-0.016 -0.005

9.3 7.5

-577.0 -1539.8

26

10.59

8.7

-0.066

-0.3

4.8

high

1991

2009 5.8

-0.034

-0.2

5.4

high

54

-0.016

-10.0

616.6

medium

75.92

0.000

6.4

-15073.3

very low

17.37

6.89

1991

2009

161

114

1999

2009

37.96

37.8

1995

2009

154.98

1.7

31

6.440

4.9

0.8

high

231.1

13.23

46.22

1.176

5.5

4.7

high

87

-0.028

-0.7

24.8

high

2001

2009

70.61

91.2

Note: NCSB use a refine methodology in its 2009 poverty data at the same time adjusting the previous’ years data. The same trend was observed on refine methodology vis-à -vis the old methodology.

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II. STRATEGIC FRAMEWORK The strategic framework of the human resource development is geared towards the attainment of the social contract of government with the Filipino People. It is also anchored primarily on the commitment of government in the Education for All and the Millennium Development Goals.

The framework should facilitate the convergence of the stakeholders to provide, specifically to the poorest of the poor, access to education, health, and other social services as well as equalize development opportunities to propel socio-economic growth and ultimately reduce poverty.

A. Education Early Childhood Education Objective Increased enrolment in early childhood education (ECE) Targets 1. To achieve 100 percent gross enrolment ratio for preschool age 5-yearolds by 2015-16 2. To increase coverage of early childhood education from 75 percent to 85 percent by 2016 3. To complete preschool coverage in public and private primary and elementary schools 4. To double the number of DCC (day care center) facilities funded by GOCC/ NGO/Church/PO from 10 percent or 128 in 2010 to 256 by 2016 Objective Improved ECE service delivery Targets 1. To establish at least one DCC per barangay 2. To increase DCC accreditation coverage by 10 percent annually based on the total DCC facilities 3. To maintain at least 85 percent DCC accreditation by 2015 onwards Strategies 1. Establish and strengthen parent-teacher associations/organizations in DCC and in preschool 2. Maintain and upgrade social welfare facilities 3. Have a pro-active role of barangay ECCD Coordinating Committee and pre-school teachers 4. Standardize pre-school/kindergarten curriculum 5. Strengthen accreditation of DCCs 6. Expand and sustain multi-sectoral partnership 7. Promote the essence of volunteerism for the benefit of children 8. Promote universal pre-schooling for all 9. Compliance to Republic Act 8980 known as ECCD Act 10. Compliance to Republic Act 6972, An act establishing a day care center in every barangay Programs, Projects, and Activities 1. Construction and repair of day care centers 2. Hiring of day care workers 3. House-to-house campaign in every barangay for early childhood education 4. Inventory of children who need early childhood care, education, and intervention

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Elementary and Secondary Education Objective Improved access to elementary and secondary education Targets Elementary 1. To increase participation rate to 100 percent by 2015-16 2. To increase cohort survival rate from 67 percent in SY 2009-10 to 82.25 percent by 2015 and 85 percent by 2016 3. To increase completion rate from 65 percent in SY 2009-2010 to 80 percent by 2015-16 Secondary 1. To increase participation rate from 50 percent to 75 percent by 2014-15 and 80 percent by 201516 2. To increase cohort survival rate 2 percent annually or from 73 percent in SY 2009-10 to 83 percent by 2014-15 and 85 percent by 2015-16 3. To increase completion rate from 70 percent in 2009-10 to 80 percent by 2015-16 Objective Improved delivery of education services Targets 1. To enable 112 elementary schools offering incomplete/primary education in 2010 to offer complete elementary education by 2016 2. To fill the number of current classroom backlog/shortage (930 classrooms) by 2016 3. To have 100 percent redeployment of concerned teachers/items by 2016 4. To meet the 1:1 seat-student ratio by 2016 5. To meet the 1:1 textbook-student ratio per subject area by 2016 Objective Enhanced quality of education Targets 1. To achieve 97.86 percent basic literacy rate and 90.8 functional literacy rate by 2015-16 in adherence to the fourth goal of EFA: to achieve 50 percent improvement in adult literacy by 2015 2. To improve NAT results for elementary and secondary levels from 75.50 and 55.70 for SY 2008-09 to 96.54 and 80.34 by 2015-16, respectively 3. To increase NAT results for English, Math, and Science subjects by 2 percent each annually Strategies 1. Provide quality, relevant, and free basic education 2. Assess the readiness of 5-year-olds for admission to grade 1 3. Promote “every child a reader� by grade 1 4. Improve competency and skills of the teaching staff 5. Employ relevant trainings and workshops for teachers to develop and enhance expertise (and on imparting the same) on specific subjects 6. Re-deploy teaching positions 7. Promote and institutionalize campus journalism 8. Intensify the conduct of instructional supervision

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9. Promote entrepreneurship and cooperativism 10. Encourage local initiatives for improving the quality of basic education 11. Strengthen school-community partnership 12. Scale-up relevant education programs 13. Intensify and sustain the Alternative Learning System (ALS) 14. Expand teaching staff 15. Strengthen the ICT curriculum 16. Strengthen technical-vocational education 17. Upgrade and integrate Madrasah/Madaris Education as a sub-system within the education system 18. Expand the basic education cycle to K-12 system (a 12-year basic education cycle) 19. Promote technical vocation education as an alternative stream in senior high school 20. Achieve science and math proficiency 21. Ensure better quality textbooks 22. Rationalize medium of instruction 23. Provide assistance to private schools as essential partners in basic education 24. Pursue a covenant with local governments to build more schools 25. Harmonize the Localization Law Programs, Projects, and Activities 1. Construction and rehabilitation of school buildings 2. Adopt-a-school Program 3. School Improvement Program 4. School building Program 5. School-based Management (SBM) 6. Brigada Eskwela 7. Educational facility enhancement program 8. School Feeding Program 9. Human Resource Development Program 10. Upgrade basic education curriculum 11. Accreditation Program for Public Elementary Schools (APPES) and preschool education 12. Project STERLING 13. Special Education (SPED) 14. National English Proficiency Program (NEPP) 15. Project Turn Around for Low Performing Schools in English 16. Read-A-Thon 17. Peace Education 18. Project REACH-CARAGA (Reaching All CHildren and Educate with Commitment, Action, Resource AGgregation towards Achievement) 19. Technical-Vocational Education 20. Conduct of diagnostic and achievement tests (R/NAT) 21. Basic Education Sector Reform Agenda (BESRA) 22. Student Technologists and Entrepreneurship of the Philippines (STEP) 23. Arabic Language and Islamic Values Education (ALIVE) 24. Government Assistance of Students Teacher in Private Education (GASTPE) 25. Multigrade Program in Philippine Education 26. Alternative Learning System: Family Basic Literacy Program (FBLP), Indigenous People Education Program (IPEP), Mobile Library Program (MLP), Radio-Based Instruction Program (RBIP), Informal Education (InfED), Arabic Language and Islamic Values Education (ALIVE in ALS), Parent’s Literacy/ Livelihood Education Program in Schools (PLEPS), Education Behind Bars: Literacy Cum Livelihood 27. Conduct Research and Development 28. Radio Program 29. Every Child A Reader Program (ECARP)

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Technical Education and Skills Development Objectives 1. Increased labor force competency 2. Increased employment of TVET graduates Targets 1. To achieve 75 percent increase COCs out of the total TVET graduates by 2016 2. To ensure the employment of 55 percent of the total number of TVET scholars annually 3. To increase the percentage of TVET graduates who have found employment (absorption rate) from 7 percent in 2010 to 25 percent by 2016 Strategies 1. Institutionalize a convergence mechanism between the education systems – DepEd, TESDA, and CHED – that would enhance interfacing and facilitate the entry of human resource for continuous skills development 2. Strengthen the implementation of ladderized education program between TESDA and CHED 3. Provision of competent and highly-skilled TVET graduates 4. Ensure accessibility and quality of TVET graduates 5. Provision of demand-driven rather than supply-driven training delivery 6. Promote labor market information by requiring Feasibility Study as an initial step in applying for a permit to operate a course/program/TVI 7. Intensify labor market study to identify menu of skills responsive to the priority industry clusters 8. Intensify the TVET reform agenda to ensure competency-based TVET by actively involving the industry in the design, development, and provision of training 9. Design and redesign/revise TVET curricula and programs to strengthen foundation skills, knowledge, and technical expertise to meet the changing needs of both local and international industries.

10. To facilitate the employment of TESDA scholar-graduates in either school-based or enterprise-based TVET programs within six to 12 months after completion of training 11. Strengthen partnership with private and public TVET associations for the massive and sustained implementation of Blue-Desk program Programs, Projects, and Activities The following is a buffet of programs, projects, and activities already existing or for implementation in the region.

1. Conduct local and inter-region industry fora to facilitate skill-matching and level-off expectations and needs of the industries, labor force, and skill providers/TVIs 2. Conduct of Jobs Bridging and Internship Program to facilitate employment of displaced workers 3. Conduct Labor Market Study/Research 4. Conduct employment facilitation activities to showcase competencies of TVET graduates and likewise, assist employers/industries to employ competent and highly-skilled workers 5. Unified TVET Program Registration and Accreditation System (UTPRAS) is a system that ensures compliance of Technical Vocational Institutions (TVIs) with minimum requirements as prescribed under the promulgated training regulation of TVET programs 6. Private Education Student Financial Assistance (PESFA) Program is an educational grant to deserving students in private post-secondary non-degree TVET courses in line with the skills requirements of the priority sectors such as agri-fishery, construction, decorative crafts, electronics and information technology, furniture and fixtures, health, metals and engineering and tourism 7. Training for Work Scholarship Program (TWSP) provides skills and competencies to job seekers through appropriate training programs that directly connect to existing jobs for immediate employment 8. Youth Profiling for Starting Career (YP4SC) – a multi-component (1. career profiling, 2. labor market information, 3. education and training information, 4. career guidance, and 5. tracking) career guidance program geared towards empowering clients to decide on their future career that would

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complement their abilities and the demands of the labor market as well as the training needs to meet the industry requirements 9. The Blue-Desk Jobs Bridging (BDJB) Services assist graduates, especially the scholars, find employment through referral/job matching with the “Blue-Desk” as the facilitation office which provides services such as labor market intelligence data, career guidance, referral, and placement for wage employment (local and oversea), emergency employment (OJT and apprenticeship), referral for business development support for self-employment, and the “Jobs Bridging” as an employment facilitation event for TVET graduates Higher Education Objectives 1. Improved equitable access to higher education with preference to the marginalized sector 2. Increased graduates from courses in line with the priority sector/s of the Region Targets 1. To increase enrolment in baccalaureate courses by 5 percent annually 2. To increase government scholarship grants to deserving but poor students by 16.6 percent annually 3. To double the percentage share of agriculture, forestry, and fishery discipline from 4 percent in AY 2009-2010 to 8 percent by 2016 Strategies 1. Sustain scholarship grants 2. Strengthen partnership with LGUs/congressional representatives 3. Promote sponsorship of scholars in the private sector 4. Create demand and promote the agri-fishery courses 5. Promote matching of skills between graduates and industry Programs, Projects, and Activities This list of well-crafted programs is meant to address the concerns of group, productive Caraganons: 1. Scholarship Programs funded by the General Appropriations Act (GAA), Higher Education Development Fund (HEDF), Priority Development Assistance Fund (PDAF), and the National Agriculture and Fisheries Education System (NAFES) that provide the poor but deserving tertiary level students wide access to educational opportunities in quality schools and priority courses/programs 2. Regular Graduate Tracer Studies that guide the CHED and partner HEIs in coming up with an updated set of program offerings that would match the set of skills required by the local and international industries 3. Public Higher Education Rationalization Program that aims to improve the efficiency and effectiveness of the HEIs by addressing concerns relative to governance rationalization and restructuring, resource rationalization and fiscal autonomy, and program rationalization or regional program specialization 4. Expanded Tertiary Education Equivalency and Accreditation Program (ETEEAP) a comprehensive educational assessment program that recognizes, accredits, and gives equivalencies to knowledge, skills, attitudes, and values gained by individuals from relevant work

B. Cultural Communities and Vulnerable Sectors Objective Improved living conditions of cultural communities and vulnerable groups in Caraga Region Targets 1. To reach 100 percent barangay health station and elementary school coverage to IP communities 2. To decrease the number of Children in Conflict with the Law from 51 to 0 by 2016

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3. To increase the number of economically productive PWDs to 75 percent by 2016 4. To have attained 100 percent organization of Pag-asa Youth Association of the Philippines (PYAP) from 36 in 2010 to 67 in 2016 5. To increase the numbers of pensioners as follows: Year

No. of Pensioners

2011

10,825

80 years old and up

2012

22,346

75 years old and up

2013 2014

24,581 27,039

75 years old and up 75 years old and up

2015

29,743

75 years old and up

2016

32,717

75 years old and up

Age Bracket

6. To reach 100 percent compliance of all agencies to 5 percent GAD budget Strategies 1. Enforcement of the PWD, older persons, women, and IP related laws 2. Provision of social services, infrastructure development, and livelihood PAPs to IP communities 3. Establishing monitoring and regulatory mechanisms to ensure that commercial interests do not improperly appropriate indigenous peoples’ lands.

4. Strengthen youth councils/organizations and wider youth participation thru capacity-building programs and sports related activities 5. Implementation of programs, projects, and activities for the elderly and PWDs 6. Sustained and improved implementation of social welfare programs for persons with disabilities 7. Provision of social pensions to older persons Programs, Projects, and Activities The following are existing or proposed programs and projects and activities that have been created specifically for the needs of cultural communities and vulnerable groups in Caraga: 1. Put up barangay health stations in IP communities 2. Construct school buildings in IP communities 3. Training of IPs as brgy. health workers, day care center workers, and as community development volunteers 4. Organize/strengthen the youth councils in different municipalities which do not have an organized youth councils yet.

5. Establishment of community training centers for youth 6. Peer counseling and peer education for CICL meant to address the cognitive, emotional, behavioral, and social needs of individuals. Peer counseling may prevent and address problems, facilitate positive learning and behavior, and enhance healthy development of individuals.

7. Construction of Bahay Pag-asa transition home for the children in conflict with the law 8. Establishment of Persons with Disability Affairs Office in every province, city, and municipality.

9. Special education program for children with learning disabilities and other forms of disability.

10. Community-based rehabilitation emphasizes the concept of inclusion or integration, where disabled persons are trained to function within their own environment. This involves the community in making use of its own resources, both manpower and material, to help uplift the status of children and youth with disabilities and play an active role in the early identification and rehabilitation of children with disabilities.

11. Social mobilization of persons with disabilities, senior citizens and their families aims to mobilize and build up the productive potentials and resources of these special groups, traditionally regarded as beneficiaries, so that they may be able to respond to their own needs. The goal is to empower them to assume responsibility in the community.

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12. Early intervention programs are meant to increase the awareness of parents, caregivers, and communities on conditions of children with disabilities, and on potential challenges that may occur in the future. Appropriate measures are then planned to ensure that the normal process of the child’s growth and development is maintained 13. Establishment of database for the senior citizens, a project that will develop data banking and research on senior citizens with particular emphasis on geographical and sex-disaggregated data collection in every LGUs. 14. Establishment of geriatrics wards that will address the specific needs of elderly patients.

15. Imposition of sanctions on government institutions that do not implement the 5 percent GAD budget will finally give funding to specific GAD projects.

16. Creation of Philippine Commission on Women Office in Caraga Region

C. Health and Nutrition Maternal and Child Health. With the region having one of the highest maternal and child mortality rates in the whole country, this particular sector elicited a number of distinctive objectives, targets, strategies, and the programs, projects and activities that will address them.

Objectives 1. Reduced maternal mortality rate in the region 2. Reduced infant and under-five mortality rate in the region Targets 1. To reduce maternal deaths from 114/100,000 live births to 54/100,000 live births by 2015 (10/100,000 live births maternal deaths reduction annually) 2. To reduce infant mortality rate from 6.9/1,000 live births to 5.8/1,000 live births (1/1,000 infant deaths reduction annually) and under-five mortality rate from 10.59/1,000 live births to 8.7/1,000 live births in 2015 (1/1,000 live births under-five deaths reduction annually) Strategies 1. Implement the basic obstetric care or BEMOC strategy 2. Sustain implementation of the maternal, neonatal and child health and nutrition (MNCHN) strategy to improve, among others, the quality of pre-natal and post-natal care 3. Intensify health education and information campaign to include good nutrition of mothers, responsible parenthood, and others 4. Establish birthing homes and support facilities 5. Strengthen the implementation of family health and safe motherhood to MWRA 6. Provision of appropriate health care package, such as in family planning and other information, to all women of productive age 7. Provision of child and women-friendly facilities/structures in all public areas 8. Immunize every mother and child in every barangay 9. Tap national and foreign funding sources for provision and expansion of rehabilitation of health facilities 10. Increase the salaries of doctors and encourage them to stay in far flung barangays/municipalities 11. Increase budget for tertiary hospitals to improve services of health personnel 12. Promote health facility-based and health personnel-based delivery Programs, Projects, and Activities 1. Construction of birthing homes 2. Construction/repair /improvement of health centers 3. Conduct trainings, seminars, orientations and consultations meeting 4. Reproduction/provision of IEC materials 5. Establish Regional Maternal Death Review Team and GIS on Maternal and Child Health

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6. Conduct “Reaching every Barangay� during Garantisadong Pambata months 7. Provision of incentive mechanisms for LGUs with impressive performance in improving maternal and child health 8. Proper regulation of health facilities 9. Capacity-building of health care staff 10. Establishment of governance mechanism to ensure political commitment and accountability

Health Facilities Objectives 1. Intensified coverage of Botika ng Barangays (BnBs) 2. Improved health care services in the region Targets 1. To increase BnB coverage from 67 percent in 2009 to 85 percent by year 2016 (3 percent increase annually) 2. To upgrade health facilities including government hospitals such as tertiary and provincial hospitals, Rural Health Units, Barangay Health Units, and Birthing Clinics Strategies 1. Accreditation of drug stores as BnBs 2. Advocate to LGUs to put up more BnBs in the locality 3. Monitor the functionality and operation of BnBs 4. Implement incentive mechanism for LGUs in the implementation of health programs 5. Ensure the availability of essential drugs to all BnB outlets by providing consistent supply channels 6. Monitor implementation of drug-related laws such as the Cheaper Medicines Act and the Generics Act 7. Rationalize and upgrade provincial/district hospital facilities and services 8. Enhance hospital and referral system 9. Hiring of more government health personnel/creation of additional positions for health personnel to cater to the health needs of the growing population/suffice ideal personnel to population ratio 10. Provision of scholarships to health personnel to retain them Programs, Projects, and Activities 1. Construction of mental health facility 2. Provision of modern hospital equipment to retained hospital 3. Construction/rehabilitation/ugrading of government facilities (hospitals such as the Cortes Municipal Hospital, rural health units, barangay health stations and birthing clinics) 4. Purchase of modern health facilities in the government hospitals such as mammography and others 5. Conduct trainings and orientations to identified barangay captains and BnB operators 6. Monitor fake medicines 7. Conduct regular monitoring of BNBs and accreditation of other drug outlets 8. Construction of provincial hospital in the province of Dinagat Islands 9. Construction of one unit of provincial hospital in Surigao del Sur and one in Agusan del Norte 10. Implementation of LGU scorecards in the implementation of health programs 11. Adoption and Implementation of Health Human Resource Development Plan 12. Implement Community Health Development and Health Care Facility Development Programs 13. Rural health facilities accreditation 14. Operation of inter-local health zones (ILHZ) 15. Conduct of medical and dental outreach programs/missions

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Reproductive Health Objectives 1. Increased coverage of contraceptive prevalence rate 2. A managed population growth Targets 1. To achieve MDG prevalence rate of 75.92 percent in 2015 from 37.8 percent in 2009 (6.4 percent annually) 2. To attain the desired fertility rate of 2.8 percent from the current total fertility rate of 4.3 percent by 2016 Strategies 1. Generate support from policy makers and local chief executives for population program/family planning 2. Enactment and implementation of reproductive program (RP), family planning (FP), reproductive health (RH), and gender policies 3. Improve access and availability of FP/RH information and services at the local level 4. Promote the use of artificial/modern and natural FP methods 5. Advocate for the passage of the Reproductive Health (RH) Bill 6. Conduct of preventive health care among women Programs, Projects, and Activities 1. Implement contraceptive self reliance 2. Implement Community-Based Adolescent Health and Youth programs 3. Provision of paponicolau smear, vaccines, and CA 125 tests 4. Conduct basic and comprehensive training (level 1-2) 5. Provide IEC materials to local counterparts 6. Conduct program implementation review of all family health cluster programs Environmental Health Sanitation Objectives 1. Reduced incidence of mosquito, water-borne and other vector-borne diseases such as dengue, malaria, and others 2. Improved access to sanitary facilities 3. Improved access to potable water supply Targets 1. To increase Filaria mass treatment coverage to 85 percent of the total population 2. To reduce incidence rate of other mosquito and other water-borne diseases per 1,000 population by year 2016 such as dengue, malaria and others 3. To increase access to sanitary facilities from 45.5 percent in 2009 to 95 percent by 2016 4. To increase access to potable water supply systems in all barangays (100 percent coverage) Strategies 1. Strict implementation of sanitation laws and policies 2. Monitor food and water borne diseases 3. Monitor compliance of accredited health facilities to health legislations 4. Promote personal hygiene, food, and water sanitation practices 5. Promote the use of oresol 6. Provision of public toilets/rest areas every 50 km of the national highways

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7. Compliance of the LGUs in the formulation of 10-year SWM Plan 8. Provision of potable water supply to all barangays Programs, Projects, and Activities 1. Massive IEC/reproduction of IEC materials 2. Provision of toilet bowls to geographically-isolated and depressed areas 3. Provision of chlorine granules 4. Regular monitoring of water sources 5. Conduct trainings, seminar, orientation workshop, consultation meetings 6. Provide Oresol (ORS) and other logistics and supplies 7. Conduct monitoring and surveillance activity 8. Massive IEC 9. Construction of public toilets/rest areas every 50 km of the national highways 10. Formulation of provincial, city and municipal SWM Plan 11. Construction of potable water supply systems (Level I, II, III) 12. Implement Disease-Free Zone Initiatives

Nutrition Objectives Decreased prevalence of malnutrition among children Target 1. To reduce prevalence of malnutrition among 0-5 years old from 28.8 percent in 2008 to 17.05 percent in 2015 Strategies 1. Strengthen collaboration and partnership among stakeholders 2. Enforce, promote, and monitor the implementation of existing nutrition law and ordinances 3. Advocate for the support of LGUs in basic health and nutrition 4. Establish database on LGUs’ budget on basic health and nutrition 5. Intensify implementation of the Regional Nutrition Program 6. Establish functional local health boards in all LGUs 7. Sustain breastfeeding campaign Programs, Projects, and Activities 1. Trainings and seminars on nutrition 2. Formulate and adopt nutrition strategic plan 3. Monitoring/strict compliance to Nutritional Law eg. ASIN, Milk Code, and others 4. Implement nutrition program components, which include among others, supplemental feeding and Pantawid Pamilyang Pilipino Program 5. Intensify activities and year-round awareness during the National Nutrition Month 6. Implementation of Anti-Hunger Mitigation Plan (AHMP) and other similar programs 7. Monitoring and evaluation of the Regional Nutrition Program implementation at the barangay, municipal, city, and provincial level Communicable and Non-communicable Diseases Objective Contained prevalence of HIV/AIDS, TB, and other diseases among the general population

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Target 1. To increase the level of awareness among the vulnerable age-groups Strategies 1. Increase community support to youth friendly program and projects particularly in providing services and information 2. Enforcement of policies that will address new and emerging issues of young people with regard to their sexual and RH needs and rights 3. Strengthen and expand partnership of NGOs, international community, and business sector to complement concerned agencies 4. Upscale IEC that will be imparted to young people that is age-sex appropriate, values-laden and rights-based 5. Extend disease surveillance and diagnostic facilities 6. Prevent mother to child transmission 7. Promote safe sex and other positive behavior 8. Promote healthy lifestyle 9. Updating of the Regional Health Research Agenda 10. Implement health researches by the Caraga Health Research and Development Consortium (CHRDC) and other organizations Programs, Projects and Activities 1. Advocacy and IEC materials 2. Provision of free tests 3. Encourage voluntary tests 4. Provision of medicines 5. Formation of advocacy and support groups 6. Health researches

D. Shelter Objective Provide access to housing units to the homeless/vulnerable Target 1. To reduce the number of informal settlers by 20 percent and housing backlog by 20 percent from 2009 data Strategies 1. Establishment of database of informal settlers 2. Provision of immediate intervention to families/individuals in crisis situation 3. Upgrading the slums and blighted areas in the urban center 4. Creation of provincial and municipal housing board 5. Implementation of RA 7279 or Urban Housing Development Act (UHDA) 6. Creation of anti-squatting/demolition teams in the municipal LGUs 7. Undertake public/private partnerships and cooperative efforts on land development and housing 8. Reclassification of timberland to A and D 9. Accreditation by LGUs of private developers 10. Provision of equitable housing fund allocation by LGUs 11. Encourage participation of private and NGOs 12. Universal membership coverage in HDMF’s provident fund for housing availment and saving’s purposes 13. Provision of standard low cost housing and secure tenure 14. Increase of LGUs budget to housing from the social services budget

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Programs, Projects, and Activities 1. Inventory of informal settlers 2. Low cost/socialized housing and resettlement projects 3. Home for the homeless 4. Urban renewal program 5. Small scale developers to help undertake site and development projects for housing purposes 6. CORE shelter project 7. Clearing of danger zones and relocation of affected families 8. Provide low cost housing projects 9. Site/land inventory and lot acquisition 10. Land banking by LGUs for resettlement sites 11. Pag-IBIG to coordinate with LGUs for housing project for possible joint venture

E. Social Security and other Social Services/Safety Nets Health Insurance Objective Should have achieved universal membership in social health among Caraganons for the planning years Targets To have 100 percent coverage in social health by 2016 Strategies 1. Health insurance coverage for all poor families (based on the NHTS-PR data) 2. Harmonization of tool (NHTS vs. CBMS) in identifying true poor and number of poor families 3. Implement mandatory payroll deduction of contribution for employed, partial subsidy from LGUs, and link contribution with administrative licenses/permits/documents, and full sponsorship by LGUs and NGAs for the indigents 4. Strengthen partnership with sponsors and other private organizations Programs, Projects, and Activities 1. Make PhilHealth a household name by word through sustained tri-media campaign and sustained partnerships with sponsors through a memorandum of agreement 2. Provision of capitalization for out-patient benefits for sponsored program beneficiaries and augmentation of public health funds 3. Advocacy to LGUs for sponsorship program among the indigents and informal sector 4. GTZ-DOF Micro Insurance Innovations Program for Social Security 5. WB-DOH National Support for Health Sector Reform Project (NSHSRP) 6. CIDA-PCW Great Women Project 7. CIDA-CICT Sustained Access and Guarantee Insurance Project (SAGIP)

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Chapter 8 : Peace and Security I. ASSESSMENT AND CHALLENGES

For more than a decade, the region has continuously been beset by poverty, a fact made more appalling because its incidence is higher than the national average; this, despite the wealth and abundance of human and natural resources. To top it off, the very people who had vowed to lift it from its degraded position had taken advantage of Caraga’s impoverished condition, a condition so precarious that its peace and security had been laid bare, like a festering wound.

The conflict problem in the region is deep rooted and multi-dimensional. One major cause is the inequitable access to its God-given resources, assets, and to its land. And more so, a great majority of the people has no say in the management of these resources. The frustration of its people is aggravated by the ideological conflict between government and the CPP/NPA who, understandably exploited the situation and gained considerable influence on the IPs. The region continues to be challenged with continuing concerns on increasing crime incidence, unstable peace and order and the lack of education or knowledge of the people in the communities which made them more vulnerable to conflict situations. The resolutions of these concerns are essential to allow the affected groups to be able to participate more fully to or benefit from the programs of government.

Increasing crime incidence Police operations encompass a wide range of activities, particularly patrol and traffic operations, implementation of special laws, command and control, civil disturbance, and disaster management. Basically, the functions of police include: 1.

2.

3.

4.

5.

6.

7.

law enforcement maintain peace and order prevent and investigate crimes and bring offenders to court of law exercise the vested powers from the Philippine Constitution and pertinent laws detain an arrested person for a period not beyond what is prescribed by law implement pertinent laws and regulations on firearms and explosives control supervise and control the training and operations of security agencies.

To effectively exercise its functions, the PNP is expected to coordinate with LGUs and the people in the communities.

In the medium-term, the PNP is ready to face various challenges concerning the crimes in the region. Crime volume has been increasing from 2004 to 2007 (Table 8.1). It was only in 2008 that the incidence reduced slightly. Over time, index crime incidence has always been bigger than the non-index crimes.

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Table 8.1. Crime Volume and Crime Solution Efficiency, Caraga Region, 2004-2008 2004 Crime Volume

2005

2006

2007

2008

957

1292

1487

1870

1322

Index Crime

742

970

1101

1333

870

Non-Index Crime

215

322

386

537

452

900

1150

1405

1546

1175

94.04%

89.01%

94.49%

82.67%

88.88%

Crimes Solved Crime Solution Efficiency Source: PNP Caraga regional office.

Crime solution efficiency, on the other hand, had a good batting average in 2004, it had more than 94 percent but went down in 2005 and 2007. From the 2007 efficiency of almost 83 percent, it went up to almost 89 percent in 2008.

The immediacy on crime reporting, the speed of police responses on crimes reported, and the quality of responses to crime incidents are crucial in the preservation of evidences and in ensuring the resolution of crime cases. It is then important that front liners in the PNP are appropriately capacitated, as well as people in the communities, to ensure a speedy and systematic crime resolution processes.

Unstable peace and order The Caraga-ComVal zone encompasses the provinces of Agusan del Norte, Agusan del Sur, Surigao del Norte, Surigao del Sur in Caraga Region and Davao del Norte, Davao del Sur, Davao Oriental and Compostela Valley in Southen Mindanao. The zone contains two of the communist hotbeds in the country.

The corridor is said to be the nesting grounds of the CPP/NPA/ NDF and is where the continuing efforts of the CPP/NPA/NDF to draw attention to itself and to increase the presence of insurgency in the country. NDF reports that at the end of 2010, the CPP-NPA had five regional committees and 42 guerrilla fronts on the island and over the course of the year had launched 250 “tactical offensives”, seized more than 200 weapons and killed roughly 300 soldiers and police.1 The CPP/NPA is estimated to have 1,100 troops distributed in 24 fronts across the zone.

The CPP/NPA primarily operates in areas of the indigenous communities. These tribes or “lumads” are the most affected by the conflict, their resource-rich ancestral lands attracting both the private sector and the NPA.2 Caraga looks deceptively peaceful but isolated cases of attacks and harassments by insurgent groups and individuals happen in the hinterlands and remote areas. Insurgent groups continue to conduct terrorist and criminal activities such as murder, extortion, destruction of property, and use of land mines.

The AFP reports that the top 5 provinces in terms of NPA encounters during the period 2008-2010, are the provinces of Compostela Valley, Davao del Sur, Surigao del Sur, Agusan del Sur and Davao Oriental. These incidents range from raids and ambushes against state security forces and local government offices as well as executions. Based on the AFP assessment the NPA continue their mass works to strengthen/recover support and sympathy of the mass base; intensify their extortion activities particularly from mining companies and small scale miners; agricultural and logging companies and other private sector groups as part of their logistical build-up; conduct attacks against Military and Police, as well as sabotage government/ private/ individual vital installations not supportive to the movement. 3 The extortion activities are estimated to raise up to P15-20 Million per month and also target small enterprises as well. ____________________________________ 1

Jorge Madlos, “42 years of advancing people’s war in Mindanao”, Ang Bayan, 7 January 2011.

The Communist Insurgency in the Philippines: Tactics and Talks Crisis Group Asia Report N°202, 14 February 2011.

3 AFP Briefing during the PAMANA Roadmapping Worshop for Caraga Region,

2

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From 2008 to 2010, the top four provinces in the country with a notable number of conflict incidence related to (CPP-NPA-NDF) CNN are in the Caraga region and Davao region. Compostela Valley posted the highest number of 227 conflict incidence which was followed by Davao del Sur by 176, both from Davao Region while Surigao del Sur and Agusan del Sur in Caraga got the third and fourth level with 117 and 113, respectively. Davao Region posted 41% conflict affectation with Compostela Valley having 62% affectation while Caraga Region had 29% affectation with Agusan del Sur having 66% affectation.

In fact, some foreign funding institutions had been undertaking projects within the area and without their knowing it, had been having leftist organizations as their beneficiaries. The CPP has likewise established its local branch or chapter where different organs and structures were duly filled with individuals who had pledged to join the armed struggle against the government. The AFP also feels that there is a lack of support from government agencies and the LGUs in their campaign to address the insurgency problem. Likewise, some LGUs and business operators were believed to be supporting the leftist groups by providing them with “revolutionary tax.”

The terrain is both a boon and a bane to the sub-region as it provides the area opportunities in mineral exploitation but it also affects access to and delivery of services. The mountainous terrain and lack of infrastructure combine to work favorably for the CPP/NPA. Andap Valley4 between the provinces of Surigao Norte and Sur and Agusan del Sur is identified as a battleground of the AFP and the NPA for over a decade.5 It is also acknowledged that Mt. Manhulayan, within Andap Valley mountain range, is where the biggest gold ore deposits are and the area is connected to Mount Diwalwal in Compostela Valley.

The lack of education in communities The lack of education in communities is a contributing factor why people are easily influenced and coerced by threat groups.

Families are uprooted from own property/habitat because of threats and intimidations. Save families in remote areas are being forced by the NPAs to leave their communities in the guise that they will be caught in the crossfire if they allow the soldiers to visit or stay in their communities, much more if they allow the soldiers to establish detachments inside their barangays. Once the families leave, their legal fronts will start using them as an issue to gain propaganda mileage and start requesting financial assistance from LGUs and even the NGOs, posturing an image as if there is restlessness in this side of the region.

Another concern is, given that the process on the issuance of the Certificate of Ancestral Domain Title (CADT) is a tedious one, leftist group/s tend to capitalize on this and would influence concerned families to go against government for inaction or delay in the process. All the more that IP communities become vulnerable. At present, 21 CADTs had already been issued. All these CADTs cover a total area of 478,885.85 hectares. There is a need, however, to fast track and ensure the formulation of a practical and community-based Ancestral Domain Sustainable and Development Protection Plan (ADSDPP) by the indigenous peoples organizations in the CADTs so that programs and projects by the different stakeholders can be facilitated in the areas. Another critical activity for consideration is the continuing para-legal trainings for tribal forces to serve as defenders of their territories and to guard the peace and security of their respective communities.

Further, highlighting the lack of control of the IP communities over their ancestral domains are the overlapping tenurial instruments for mining, logging as well as plantations. In 2002, it was estimated that Industrial Forest Management Agreement areas cover a total of 110,790.4 hectares in the region. Additionally, the DAR also reports that as of February 2011, up to 55,000 hectares of land under compulsory acquisition remain undistributed. ____________________________________ 4

Andap Valley complex comprise municipalities of Tago, San Miguel, Bayabas, Cagwait, Marihatag, San Agustin, Lianga in Surigao del Sur and Sibagat, Bayugan, Prosperidad, and San Francisco in Agusan del Sur. 5 Nida Grace B. Tranquilan, “Philippines: Indigenous Peoples Converged In Surigao Del Sur For Peace And Unity “, www.indigenouspeoplesissues.com, 24 April 2011.

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Recruitment of minors as child warriors. There is likewise an increasing number of minors recruited as child warriors by the CPP/NPA. This concern had been raised time and again because a number of minors, who had been captured, had been brought back to the folds of the law. Children need education but majority of upland communities lack the necessary facility for education. Insurgents capitalize on this lack and blame government for failing to consider basic services like education for IP communities. That is the reason why insurgent groups had established an alternative-learning center apparently to educate the IPs in the upland communities. A learning system has existed through the Alternative Learning Center for Agriculture and Livelihood Development (ALCADEV) in Km. 16, Diatagon, Lianga. It is a non-government organization (NGO) that is conducting/organizing an alternative secondary school. The Department of Education (DepEd), however, certified that it is not in accordance to DepEd curriculum. It has existed without a permit from DepEd. ALCADEV is believed to be a mechanism used to influence the children and their parents to the ideas and ideals of the CPP-NPA-NDF. Reports from former students and from documents, reveal that the ALCADEV, aside from being an alternative learning program, it is being utilized as a training ground for future cadres and NPA fighters.

Lack of government presence in communities result in extreme vulnerability and easy threats Aside from being poor, the communities that are conflict-affected are usually poorly served by government services.

It is not only the mountainous terrain that made this possible but the lack of access roads to these areas.

Table 8.2. KBP Completed Projects, Caraga Region, 2010 Project

Number of Projects Completed

Amount (PhP)

Access Road

37

125,400,000.00

Water Systems

17

25,500,000.00

School Buildings

18

12,300,000.00

Health Centers

16

7,700,000.00

Day Care Center

6

3,000,000.00

Electrification

5

9,550,000.00

99

183,450,000.00

TOTAL th

Source: 544 Engineering Brigade Report, October 2010

There were 65 barangays which were identified as priority areas by the Department of National Defense (DND) under the Kapit Bisig Laban sa Kahirapan (KALAHI) Kalayaan Barangays Program (KBP) in 2005. These areas were identified to be internally threatened and vulnerable to the influence of the CPP-NPA-NDF as they were remote barangays and almost inaccessible to government. The national government allotted a maximum of P5 million for each of the barangay to be used for water systems, access roads, school buildings, health and day care center projects, and livelihood projects. As of October 2010, the 544th Engineering Brigade report dated October 2010, showed that a total of 99 projects had been implemented in the priority barangays from January 2009. The small infrastructure projects were delayed because the Brigade lacked the needed people to deliver the projects readily. Concerned agencies likewise had difficulty in accessing funds for livelihood initiatives for the communities.

In most cases, implementation of projects failed to adopt conflict-sensitivity planning and programming which resulted to non-prioritization of conflict-affected areas. This is prevalent as most of the programs/projects are geared towards poverty reduction and economic development; what is not considered are those factors, contributory to unsustainable interventions such as conflict incidence and its root causes that should have been addressed to capacitate communities in implementing development projects.

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The KBP Projects were implemented in the priority barangays as access roads, water systems, school buildings, health centers, day care centers and electrification activities.

On the other hand, accessibility of these areas hinders the implementing agencies to deliver projects, propped up with insufficient traveling budget and lack of manpower to do community organizing and project monitoring.

For project monitoring and evaluation, success indicators for implemented projects exclude impact to conflict resolution as they focused more on production and poverty alleviation. Thus interventions are concentrated to lowland areas, with conflict-affected areas lagged unserved over the period of time.

IP communities who lacked information and education generally inhabited the most inaccessible and therefore the most undeveloped and threatened areas. They have been the easy targets of destabilizers. It is these areas where government presence is hardly felt. Given these, we can see the correlation that the more threatened an area is, the poorer the community becomes since no or less development activities can be made.

II. STRATEGIC FRAMEWORK The continuing work for maintaining peace and securing the safety of the people requires a concerted effort at different levels. The concerns vary from the simple ones to the more complex. This is not just the fight of the AFP or the PNP or the government. Every Juan, Juana, and Pedro must join hands to make a dent. In the region, government is jointly working together to initiate activities through the Regional Peace and Order Council (RPOC), the Regional KALAHI Convergence Group (RKCG) and other relevant bodies at various levels. Strong collaboration is likewise made with foreign funding institutions to implement projects and activities in areas that are not only poor but also internally threatened.

The Payapa at Masaganang Pamayanan (PAMANA) as the national government’s framework for peace and development is a strategy which is geared at reducing poverty, improving governance and building communities.

To address some of the most pressing issues in the region, it shall build foundations for peace, establish resilient communities and address concerns which will impact on regional development.

Objective Must achieve strengthened community participation in crime prevention and the fight for insurgency Targets 1. To reduce crime incidence in a locality by at least 30 percent 2. To reduce crime time reporting by at least 30 percent per year until the ideal is reached 3. To improve speed and quality of police responses to crime incidents

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4. To increase number of advocacy and capacity building activities in the integration of human rightsbased approach and peace building concepts in development planning, investment programming, and project implementation 5. To have peaceful and resilient communities 6. To increase number of military reserve component Strategies 1. Police visibility strategies – The actual presence of the police in the community deters one from doing a crime for fear of getting caught.

2. Police omnipresence strategies – These are ways of making the communities feel the presence of police in the area. This strategy is a must since there are a limited number of officers in the police force. Ideally, there should be two police officers per barangay but considering the fund limitations for all needed positions, the PNP employs strategies to maximize police presence especially in remote areas.

3. Make all police stations identifiable and reachable – With the aim of making police stations more reachable not only to victims but to all people in the communities, signages in critical areas should be put up; communication lines should be installed; police hotlines should be displayed in various places; and police hotlines call cards should also be distributed.

4. Bring police assistance desks to every barangay – To help speed up police response to crime reports, police assistance desks should be established preferably located in the barangay hall. This will provide easy access to police services.

5. Cluster/Sector all municipalities/cities to speed up police response – Neighboring local government units (LGUs) of municipalities and cities must work together or among themselves to speed up police responses in crime situations. Given the limitation that police stations have in terms of people and financial resources, there is a need to combine forces to contain crime suspects or respond to crime situations as immediately as possible.

6. Empowerment of barangay officials/tanods and the police as first responders and in evidence gathering and preservation – Frontline police officers and barangay folks like the tanods and officials must be trained and capacitated to ensure a more systematic response system, evidence gathering, and preservation of evidences. This will enable them to be more capable in what to do when crimes happen in their respective communities. They become more able in preserving and gathering evidences and most importantly the whole crime scene.

7. Strengthening police-judicial system and documentation processes – Empowering the barangay officials and tanods and frontline police officers are critical for evidence gathering and in ensuring the preservation of the crime scene. This should be supported by providing a strong connection between the police and the judicial system to provide better opportunities for victims and their families in the resolution of cases.

8. Advocacy and promotion of human security and human rights in all government and nongovernment institutions to lessen abuses as well as occurrence of militarized and other structural violence – Government, in partnership with church groups and NGOs, should sustain its efforts in fighting insurgency. Close collaboration should continuously be made with LGUs in making government more visible in the hard-to-reach communities, for them to refuse to give in to the CPP NPA’s extortion tactics. Strong partnerships with different groups shall be ensured in mobilizing communities, improving community relations, enhancing security operations, and doing public information to fight insurgency. These efforts will likewise ensure a more investment-friendly environment within the region.

9. Intensify economic and social support services through provision of sustainable livelihood opportunities, construction of strategic infrastructure projects, and convergence approach in the delivery of basic social services – Strong coordination must be made among partners to ensure the delivery of appropriate services at a given time. The AFP should continue with their Special Operation Team (SOT) activities especially in internally threatened areas. The agencies, NGOs, and LGUs should converge in the delivery of services to priority areas. Coordination should also be made with foreign funding institutions for possible assistance.

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10. Empowerment of indigenous peoples organizations (IPOs) – The CPP/NPA/NDF recruits IPs as combatants. Government needs to strengthen efforts at empowering the IPOs so that they will be able to resist the more emotional, and therefore, the more popular, propaganda of the CPP/NPA against government. There is a need to fast track the issuance of the Certificate of Ancestral Domain Titles (CADTs) and formulate the Ancestral Domain Sustainable and Protection Plans (ADSDPPs) so that development intervention can already be made to communities. The ADSDPP should also ensure the wise utilization of natural resources and the preservation of sacred places. In addition, appropriate trainings should also be made in ensuring that the tribal forces take side with the government and become the territorial defense units in their respective ancestral domains.

11. Strengthened regional wide reserve component – There is a need to beef-up the military reserve component to ensure sustained support on government’s fight against insurgency. This will also promote the ideals of patriotism among the youth, both male and female.

12. Intensify capacities and confidence of local government leaders (at all levels) in leadership development, governance and conflict sensitive planning and programming – Continuing seminars, workshops and trainings shall be made to ensure that local government units are able to integrate the concerns for peace and development in all of the development planning cycle.

Programs, Projects, and Activities 1. Police Integrated Patrol System - foot patrol system - mobile patrol systems - checkpoint system - chokepoint systems - development of containment rings 2. Establishment of community Police Assistance Centers 3. Crime Prevention Information Program 4. Organization of Force Multipliers like the Barangay tanods and Barangay Police Action Teams (BPATS) 5. Police units identification signage 6. Police units directional signage 7. Installation of communication lines to police stations 8. Display of Police Hotlines in barangays, highways, public buildings and places of convergence 9. Distribution of Police Hotlines call cards 10. Establish police assistance desks at barangay levels 11. Establish clusters/sectors by city/ municipality 12. Trainings for first responders (barangay officials/tanods, police personnel) 13. Trainings on police investigative skills (to include investigation, basic criminalistics and interrogation) 14. Trainings on evidence gathering and preservation capability to include Scene of the Crime Operatives (SOCO) procedures 15. Police-fiscal’s office coordination 16. Develop templates for documenting common cases 17. Legal assistance activities to police investigators 18. Case conferencing 19. Documenting cases on lessons learned and best practices 20. Conflict Sensitive Resource and Asset Management (COSERAM) Program 21. Integration of peace indicators in the development planning processes 22. Coordination meetings with stakeholders 23. Human Rights Based Approach (HRBA) 24. Annual Mindanao Week of Peace (MWOP) Celebration 25. PAMANA Program 26. KALAHI Kalayaan Barangays Program (KBP) 27. Youth Leadership Training Program

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28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

Halad Kalinaw Educational facilities/services within the Andap Valley Regional Internal Security Operations Coordinating Center (RISOCC) as the venue of ISO concerns Basic social services ADSDPP Formulation Workshops Scholarship Programs Literacy activities Trainings of Tribal Forces Skills and Livelihood Trainings Organizational development activities Meetings with CHED and Higher Education Institutions Review of RA 9163 or An Act Establishing the National Service Training Program (NSTP) of Tertiary Level Students 40. Civil Welfare Training Service

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Chapter 9 : Conservation, Protection and Rehabilitation of Environment and Natural Resources Towards Sustainable Development I. ASSESSMENT AND CHALLENGES One of the major challenges in attaining sustainable growth and consequently reducing poverty and achieving the region’s targets in the Millennium Development Goals is by meeting the needs of the production sector and harmonizing with the region’s carrying capacity.

But this remains a challenge since the region’s environment and natural resources are in varying states of degradation in spite of the presence of existing policies, strategies, and mechanisms.

A number of actions taken are embodied in the regional and local development/land use plans, Philippine Agenda 21, Second Iteration of the National Biodiversity Strategy and Action Plan, and pertinent environmental laws. Development issues such as rapid expansion of resettlement areas due to the increasing population, unregulated expansion of non-food commercial crop plantations in the uplands, uncontrolled introduction of exotic and invasive species of plants, inadequate waste management, worsening economic inequities, and policy biases which encouraged resource exploitation rather than conservation, if not given due attention will ultimately undermine the region’s natural resources.

Malimono range and Kalinawan river

The degradation of the region’s environment and natural resources affected its growth as indicated in the decline of the performance of its main economic drivers such as agriculture, fishery and forestry at an average of 0.48 percent annually from 2004 to 2009. The agri-fishery and forestry sector outputs persistently declined at an average rate of 1.14 percent and 4.31 percent annually. Production of food commodities affected by the changing climate patterns, crop shifting, and massive conversion of prime agricultural lands had been contributing factors in the deterioration of the environment. Fish production has been fluctuating due to the deterioration of coastal and marine resources attributed to illegal and inappropriate development activities. Timber production had slowed down indicating negative growths for the last five years due to expiration of Timber License Agreements (TLAs) and Integrated Forest Management Agreements (IFMAs) of some wood-based companies, changing and conflicting government policies pertaining to forest development, undocumented logs brought by illegal activities, insurgency and others. Relatedly, the remaining forest cover continues to decline over the years by 4 percent annually. Critical watersheds and key biodiversity areas (KBAs) are threatened with various problems that had resulted to loss in biodiversity, siltation of rivers, erosion of steeper areas, and drying up of some creeks during dry season. The region’s major bodies of water are confronted with issues such as heavy siltation, pollution, and mismanagement. Mineral production, on the other hand, grew significantly over the years. While mining is a very

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lucrative industry, there is also a need for the region to examine closely the extent of mining development in the region to ensure environmental integrity.

Moreover, the region is one of the country’s hazard-prone areas. It is almost always subjected to flooding, landslide, earthquake, storm surges/tsunami, and liquefaction. As such, the degradation of environment coupled with high poverty incidence has made the region more susceptible and vulnerable to natural calamities. In view of the above, it is imperative for the region to rationalize its development priorities vis-à -vis its carrying capacity.

A. Environment Maintaining clean air quality Pursuant to Republic Act No. 8749 otherwise known as the Philippine Clean Air Act of 1999, the EMB Caraga conducted emission inventory every three years using emission factor of USEPA AP-42.

This assessment, however, covered only the province of Agusan del Norte since there is only one (1) ambient monitoring station installed in the region that is located in New Asia, Butuan City.

Figure 9.1. Distribution of Air Pollutants by Sources

Results of the 2009 Regional Emission Inventory of EMB Caraga indicated a relatively good air quality with a total emission of 52,067 tons. Sources of air pollutants are mobile sources (47 percent or 25,314 tons), stationary sources (27 percent or 14,165 tons) and area sources (26 percent or 13,588 tons).

Source: EMB Caraga Based on the Pollution Index, 88 percent or 42 out of 48 samples collected during the 2009 Ambient Air Quality Monitoring rated good while the remaining six (6) samples rated fair.

Records showed that the Total Suspended Particulates (TSP) concentration for that year indicated a geometric mean of 62.80 ug/Ncm. This concentration was way below the 2005 TSP concentration of 87 ug/Ncm and the National Ambient Air Quality Standard of 90 ug/Ncm. The major contributors of TSP are manufacturing/ processing plants, tricycles using twostroke engines, road dust, and open burning.

Downstream of Agusan River, Magallanes, AdN

Ambient Monitoring Station at New Asia, Butuan

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Figure 9.2. Percent Distribution of Land Area, Caraga

B. Land Resource Overlapping of land use/tenurial claims Caraga Region occupies a total area of 1,913,842 hectares, which represents 6.4 percent of the country’s total land area and 18.8 percent of Mindanao total land area. Among the provinces, Agusan del Sur has the biggest land area covering about 43 percent of the region’s land area.

Seventy percent of the region’s land area is classified as forestlands and 30 percent alienable and disposable lands.

Rationalizing the overlapping and conflicting uses of land, as indicated in Table 9.1, poses a great Source: DENR. challenge among stakeholders in the region because of Table 9.1. Land Area per Land Use, Caraga Land Use Agricultural Lands Palay Corn Fruits Non-Food Industrial Crops Vegetables Production Forest

Area (Hectares) 497,536.00 137,173 39,520 37,271 257,286 26,286 939,685.00

with Tenurial Instrument (IFMA, TLA, CBFMA, ect)

766,495

Open Access (without tenurial instruments) Protection Forest NIPAS areas

173,190 331,786.00 430,313.01

Proclaimed Agusan Marsh Wildlife Sanctuary

19,197.00

Proclaimed Siargao Island Protected Landscape and Seascape Initial Components of NIPAS Additional Components to be integrated In NIPAS Critical Watershed Areas (38) Proclaimed Watersheds (12)

undetermined 132,202.01 1,227,510.00 81,842.44

Watersheds Supporting Irrigation System (18) Key Biodiversity Areas (KBAs) Mining (As of June 2009) Approved MPSA Approved Exploration Permits Approved Operating Contract Approved Special Mines Permits

803,226.00 621,902.55 124,109.21 92,989.95 23,543.65 5,705.03 423.1562

Mineral Lease Contract converted to MPSA

1,410.21

Approved Industrial Sand and Gravel Permits

37.21

Sources: BAS, DENR, EMBC and MGB

278,914

competing development priorities such as agriculture, forestry, ecotourism, mining, and biodiversity conservation.

With the passage of the Indigenous Peoples Right Act (IPRA), the region is further confronted with the dilemma considering that majority of the ancestral domains are already covered with tenurial rights/ claims such as Certificate of Land Ownership Award (CLOA), logging licenses (CBFMA, IFMA, etc.), mining permits and presidential proclamations as protected areas.

The overlapping and conflicting land uses and claims of the region’s land resource are attributed to the weak implementation, enforcement, and compliance to land use plans and pertinent environmental laws, lack of funding, and weak coordinative mechanism between and among government institutions at the national and local levels.

Consequently, these had significant effects on regional productivity, the inflow of investments, peace and order, and the quality of environment.

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Bias towards extraction over conservation of natural resources Bias towards extraction over conservation of natural resources is very pronounced as evident in the types of development activities proliferating in the region such as mining and timber production. There is a continuous expansion of coverage of production areas not only in areas classified as production land use but including those areas identified for protection purposes.

For example, agricultural development is continuously expanding towards the marshlands and timberlands; and tenured forestlands covered with logging licenses for timber production are also expanding covering both production and protection forests. However, the enforcement of existing laws and mechanisms for securing the protection forests is inutile. Mining development Felled trees, lumbers and flitches at the proclaimed Taguibo in the region is rapidly growing covering not only Watershed Area the mineral reservation areas but generally the public lands. This may include key biodiversity areas and critical watersheds that have not been declared as protected areas. Tourism industry is also expanding its areas in the construction of tourism related establishments and eco-tourism purposes.

On the other hand, conservation efforts are very slow and there is no proper ground delineation of the region’s proclaimed and proposed protected areas as in the case of key biodiversity areas (KBAs), NIPAS areas, and critical watersheds. Out of the six KBAs, two NIPAS areas serve as habitat for some globally and locally threatened species of plants and animals. Meanwhile, the critical watersheds, which are about 64 percent of the region’s land area, serve as sources of water supplying the irrigated agricultural lands in downstream areas and domestic needs for both urban and rural communities and eco-tourism and recreation services.

High exposure and vulnerability to natural disasters

Figure 9.3. Percent Distribution of Natural Calamities, 1999-2009

Caraga Region is one of the country’s hazard prone to geological and meteorological or hydrological hazards. From 1999-2009, the Office of Civil Defense (OCD) reported 25 incidents of natural calamities devastating the region. As indicated in Figure 9.3, majority of the natural calamities that devastated the region from 1999 to 2009 were climaterelated such as 16 incidents of flooding, five typhoons, and three cases of landslides. These disasters affected about 680,793 families and displaced 27,245 families. Records of casualties reached to 309 persons with 212 deaths, 68 injured, and 29 missing. Accumulated loss to properties already reached to about P5.547 billion with 82 percent of the damage incurred in infrastructure facilities/utilities and 18 percent in agriculture. The natural calamities caused damage to 23,600 houses with 91 percent partially damaged Source: OCD. and 9 percent totally damaged.

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The region’s vulnerability to disasters is primarily attributed to the presence of various types of natural hazards and continuously exacerbated by the rapid changes in land use and increasing population with high poverty incidence.

The Philippine Fault Zone and active splays that traverses all the provinces and the Philippine Trench located about 80 kilometers offshore to its east could be one of the reasons for the occurrence of earthquakes, tsunamis, and liquefactions. The location of Caraga along the Pacific Ring has exposed it to storm surges/tropical cyclones with the province of Surigao del Norte as the reference point for typhoons and tropical cyclones entering the Philippines every year.

In addition, the region’s terrain, the presence of major bodies of water that run across provinces and municipalities and the heavy rains that usually occur during the months of November to February that coincided with the northeast monsoon period made the region prone to flooding and landslides. Flooding occurred in areas along the Agusan River, Agusan Marsh, Lake Mainit, Tago River, Hinatuan River, and Surigao River. Areas considered as high and moderately susceptible to landslides are shown in Table 9.2.

Table 9.2. Places High and Moderately Susceptible to Landslides Province

Susceptibility/Municipality

Agusan del Norte

High: Butuan City, Jabonga, Nasipit and Tubay Moderate: Buenavista, Butuan City, Cabadbaran, Carmen, Jabonga, Kitcharao, Las Nieves, Magallanes, Nasipit, and Tubay

Agusan del Sur

High: Bayugan, La Paz, Prosperidad, San Luis, Sibagat and Trento Moderate: Bayugan, Bunawan, Esperanza, Loreto, Prosperidad, Rosario, San Francisco, San Luis, Sibagat, Talacogon, Trento, and Veruela

Dinagat Islands

High: Basilisa, Cagdianao, Libjo, Loreto, San Jose and Tubajon Moderate: Basilisa, Cagdianao, Dinagat, Libjo, Loreto, and Tubajon

Surigao del Norte

High: Alegria, Bacuag, Burgos, Claver, Dapa, Del Carmen, Gen. Luna, Mainit, Malimono, Placer, San Benito, San Francisco, San Isidro, Sison, Socorro, Sta. Monica, Surigao City, and Taganaan Moderate: Alegria, Bacuag, Claver, Dapa, Del Carmen, Gen. Luna, Gigaquit, Mainit, Malimono, Placer, San Benito, San Francisco, San Isidro, Siso, Socorro, Sta. Monica, Surigao City, Taganaan, and Tubod

Surigao del Sur

High: Barobo, Bislig City, Cantilan, Carmen, Carrascal, Hinatuan, Lianga, and San Miguel Moderate: Barobo, Bislig City, Cagwait, Cantilan, Carrascal, Cortes, Hinatuan, Lanuza, Lianga, Lingig, Madrid, Marihatag, San Agustin, San Miguel, Tagbina, Tago, and Tandag

Source: OCD.

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C. Forestry and Watershed Diminishing forest cover

Along Agusan River, Bit-os, Butuan City

Logs stocked at CENRO Bislig

The whole of Mindanao had been dubbed as the Promise Land for many reasons. One of the more pronounced reason is that the whole area is covered with lush growth and teeming with a whole range of flora and fauna. But as facts tell it, unabated greed and unconcern for future generations had been depleting the area’s natural wonders.

Figure 9.4. Forest Cover 1987, 2003, & 2010 (In hectares) Caraga Region is no exception. Seventyfour percent of the region’s forestlands are classified as production forest and 26 percent protection forests.

Notwithstanding this vast tract of forestlands, forest cover is declining at an alarming average rate of 4 percent since 2003. Figure 9.4 showed the remaining forest cover from 1987 to 2009. As noted, the remaining forest cover of the region in 2009 accounted only 39 percent of its forestlands.

Roughly 83 percent of this is open canopy forest, only 12 percent is close canopy forest, and 5 percent mangrove forest. Apparently, close canopy forest declined by about 10 percent; open canopy forest, 3.52 percent; and Source: DENR Caraga mangrove forest, 0.23 percent.

Timber production is a major source of livelihood in the region and culled from the land. While there exist laws advocating for the adoption of sustainable forest management approach, it is obvious that such laws had largely been ignored. The picture shows that the harvesting of timber is faster than regeneration of the forests. DENR data show that plantation development in areas covered with logging licenses has been very slow compared to the rate of harvesting as in the case with areas covered with CBFMA, IFMA, and TLA. Apart from that, the unabated illegal logging activities, unregulated

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expansion of agricultural activities such as industrial crops plantation, and the unregulated expansion of resettlement areas were some of the primary causes of the declining forest cover. Moreover, the slow pace of assigning rights to cancelled and expired logging licenses like the concessions of NALCO and recently PRI, Inc. leave a large portion of forestlands under open access conditions rendering them vulnerable to encroachment and speculations.

Given the rapid unpredictability of climate change coupled with the man-made deterioration of the region’s forest cover will most likely intensify the region’s exposure to natural disasters such as flooding and landslides; shortage in water supply for irrigation and domestic use; and loss in biodiversity.

Declining timber production in forestlands Wood production is a major industry and source of livelihood in the region with tree plantation activities undertaken not only in forestlands but also in portions of alienable and disposable lands. The region’s forestlands covered a total area of 1,331,491 hectares, representing about 70 percent of its total land area. Of this, almost a staggering three-fourths or 71 percent are already covered with logging licenses for timber production. On the other hand, private plantations covered a total area of 20,565.31 hectares, which represents 1.07 percent of the region’s land area.

As indicated in Table 9.3, tenured forestlands increased by 52.54 percent from 616,019 hectares in 2005 to 939,685 hectares in 2009. Tenured forestlands comprised 82 percent production forest and 18 percent protection forest. Large portion of these tenured forestlands are located in Agusan del Sur and Surigao del Sur comprising 46.65 percent and 28.07 percent, respectively. Given these forest resources, the region had consistently been a major source of timber supplying approximately 60 percent of the country’s log requirement. This earned for the region the name the Timber Corridor of the country.

Trucks loaded with logs

Table 9.3. Tenured Production Forest by Province (In hectares) Province/City Caraga Region

2005

2007

2009

2005-07

2007-10

2005-09

616,019

729,072

939,685

18.35%

28.89%

52.54%

23,707

72,095

110,178

204.11%

52.82%

364.75%

272,979

291,991

438,387

6.96%

50.14%

60.59%

50,888

29,192

74,015

-42.63%

153.55%

45.45%

Surigao del Sur

259,219

259,219

263,828

0.00%

1.78%

1.76%

Dinagat Islands

26,679

26,729

36,435

0.19%

36.31%

36.57%

9,226

21,344

16,842

131.35%

-21.09%

82.55%

Agusan del Norte Agusan del Sur Surigao del Norte

Butuan City Source: DENR Caraga.

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The region’s forestry sector showed a dwindling performance in the last six years despite its enormous forest resources. As indicated in Figure 9.5, it shows that nothing is inexhaustible. Log production notably declined showing negative growths in 2004, 2006 to 2008 which recorded at an average rate of -11 percent annually. There were increases noted in 2005 and 2009 at 7.02 percent and 17.12 percent, respectively. However, these increases were not able to compensate for the plummeting growths in other years.

Figure 9.5. Growth Rate by Tenurial Instrument

Ironically, log productions were fueled primarily by private tree Source: DENR. Figure 9.6. Log Production by Tenurial Instrument

Source: DENR.

plantations that accounted for 63 percent and imported logs which increased significantly during the period as indicated in Figure 9.6. Tenured forestlands had slowed down its production performance due to the closure of PRI Inc., expiration of VTC and CSDC concessions, suspension on the issuance of Resource Use Permit for (RUPs) areas covered with CommunityBased Forest Management Agreement (CBFMA) and non-operationalization of the Shannalyne Techland’s Co-Production Sharing Agreement (CPSA) which covered 170,000 hectares of production and protection forests in Agusan del Sur. Component to the Shannalyne Techland’s CPSA is the operationalization of a wood pulp processing plant in the Shannelyne Technological and Ecological Park (STEP), a 258-hectares special economic zone located in Esperanza, Agusan Del Sur.

In addition, conflicting and changes in government policies pertaining to forestry development and management have significant effect in performance of the forestry sector. The recent issuance of Executive Order No. 23 on 01 February 2011, declaring a moratorium on the cutting and harvesting of timber in the natural and residual forests, has affected several wood processing companies particularly those that are dependents on natural grown forests in the production of veneer, ply board, plywood and furniture.

Furthermore, the bureaucratic red tape has discouraged investments in tree plantations and caused the slowdown in the development of commercial tree plantation specifically timberlands. All these plus the poor yield of small and medium scales industrial tree plantations, lack of value adding activities, rampant illegal logging activities, and insurgency made for the sector’s diminishing output.

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Deteriorating watershed areas and loss of biodiversity A large portion of the region’s critical terrestrial is included in the Eastern Mindanao Biodiversity Corridor (EMBC), one of the three (3) megadiverse yet hotspot focal areas in the country covering a total area of 909,191 hectares. Six out of nine geographic cores called key biodiversity areas or KBA within the EMBC are located in the region. It has an aggregate area of 621,902.55 hectares, which represents about 68 percent of the total EMBC area and 33 percent of the region’s land area. The biodiversity of these areas is currently threatened and places several flora and fauna species on the brink of extinction. As indicated in Table 9.4, at least 122 globally threatened species of animals and 65 species of plants are found within the six KBAs of the region. The survival of these flora and fauna are threatened by various development activities undertaken within the KBAs. Table 9.4. Key Biodiversity Areas in EMBC, Caraga KBA Mt. Kambinliw and Mt. Redondo

Siargao Island

Mt. HilongHilong Range

North Diwata

Location Loreto, Tubajon, Libjo and Cagdiano in Dinagat Islands Provinces

Sta. Monica, Burgos, San Isidro, Pilar, General Luna, Dapa, Del Carmen, San Benito and Socorro in Surigao del Norte

Cabadbaran, Santiago, Jabonga and Kitcharao in Agusan del Norte; Alegria, Gigaquit and Claver in Surigao del Norte; Carrascal, Cantillan, Madrid, Camen, Lanuza, Cortez, Tandag, Tago and San Miguel in Surigao del Sur; and Sibagat in Agusan del Sur San Miguel, Tago, Cagwait, Marihatag, San Agustin, Lianga and Barobo in Surigao del Sur; San Francisco and Prosperidad in Agusan del Sur

Threats to Biodiversity

Biodiversity >100 bird and 400 plant species and 2 mammals IUCN globally threatened species: 20 vertebrates and 13 plants 85 species of birds, @ least 9 species of frogs and 21 species of mammals and 11 species of plants Globally threatened species: At least 12 animals and 11 plants @ least 120 species of birds, 41 species of frogs and reptiles, @ least 45 species of mammals

Area (In hectares)

Mining, quarrying, illegal logging, illegal fishing and overfishing, industrial development, land conversion and population pressure

28,524.31

Destruction of mangroves and lowland forests as result of land clearing for agriculture, illegal logging and other forms of land conversion; mining of corals and blast fishing

62,502.86

Slash-and-burn farming, timber poaching, logging, increasing population, mining

240,239.86

Forest conversion to agricultural uses in the form of slash-andburn and commercial plantation; illegal logging; mining; illegal fishing/over fishing

93,798.09

Globally threatened species: At least 31 vertebrates, 17 plants

Flora and fauna are not different from Mt. Hilong-Hilong (nearby range) Globally and locally threatened species: 21 vertebrates

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KBA Agusan Marsh

Location Veruela, Loreto, Bunawan, La Paz, Talacogon, San Francisco and Rosario in Agusan del Sur

Biodiversity @ least 14 species of fresh water fishes, 21 frogs, 39 reptiles, 14 mammals, and 132 birds Globally threatened species: 17 vertebrates and 15 plants

South Diwata/Bislig

Trento, Bunawan, Rosario and San Francisco in Agusan del Sur; Barobo, Bislig and Lingig in Surigao del Sur; Monkayo Boston in Compostela Valley; Boston in Davao Oriental

Globally threatened species: 21 vertebrates and 9 plants

Total

Threats to Biodiversity Sedimentation due to forest clearing in uplands, pollution from tailings of small scale mining, continuous clearing of marsh forests for agriculture and settlements, electric and chemical fishing, overfishing, increasing population, hunting of wildlife and exotic and invasive species of janitor fish.

Forest conversion into agricultural lands by way of slash-and-burn farming and plantation development, timber poaching, unsound logging practices and mining

Area (In hectares) 42,008.62

154,828.81

621,902.55

Source: EMBC Conservation Framework.

Flora and Fauna within Eastern Mindanao Biodiversity Corridor (EMBC). Taken by Conservation International

On the other hand, the DENR identified 38 critical watershed areas in the region covering a total area of 1,227,510 hectares. Portion of these areas are included in the EMBC as habitat of some of the country’s unique and globally threatened species of plants and animals. Moreover, 18 critical watersheds support irrigation system projects of the government such as Southern Philippine Irrigation System Project (SPISP), national irrigation system, and others. A number also of these watershed areas are supporting water supply systems of the cities and municipalities. As of 2010, only 12 out of the 38 critical watersheds were said to be covering an aggregate area of 81,842 hectares, which represents 6.67 percent of the watershed areas. Apparently, these critical watershed areas are in varying state of degradation.

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Some of the underlying causes of the continuous degradation of watershed and loss of biodiversity are the pressures from the increasing population, both natural and in-migration; poverty and food insecurity; weak enforcement and compliance to environmental-related laws, i.e., EIS system; rapid timber production and illegal logging activities; open pit and strip mining; forest coversion; land use conversion and crop shifting; wildlife hunting and collection for food and trade; and the presence of invasive species.

D. Costal and Marine Resources Depletion of coastal and marine resources Coastal and marine ecosystems play an indispensable ecological services such as breakwater, erosion control, nutrient cycling and beach sand deposition, in addition to yielding important resources.

Figure 9.7. Fish Production, 2004-09

Forty-six municipalities or about 66 percent of the region’s municipalities and three cities are located in the coastal areas covering a total shoreline of 3,235 kilometers. In 2007, the region’s total coral reef area was 36,363.87 hectares.

Source: BAS. Fish production showed a fluctuating trend from 2004 to 2009 as indicated in Figure 9.7. Moreover, results of random studies conducted by the DENR reveal some disturbing facts on the state of the region’s coastal resources. Poor ratings in coral cover are noted in fragmented areas of the region.

Mangrove forest cover slightly declined by 0.23 percent from 26,793 hectares in 2003 to 26,731 hectares in 2010. This, in spite of continuous implementation of rehabilitation activities by concerned government agencies and local government units.

The depletion of coastal and marine resources can be associated to siltation of major river systems and coastal areas; mining of corals for land fill; blast fishing and other unsustainable fishing practices; and slow but continued destruction of mangroves and lowland forests for agricultural purposes, resettlement, tourism development, and firewoods making.

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E. Water Resources Absence/inadequate water resources management framework The region has abundant water resources including rivers and lakes; the DENR listed 85 rivers and 33 lakes. Out of these, the Environmental Management Bureau (EMB) identified 36 major rivers and lakes whose drainage areas covered not less than 40 square kilometers. About 29 of these major bodies of water were already classified pursuant to DENR’s Department Administrative Order (DAO) No. 34, series of 1990.

Cabadbaran River, Cabadbaran, Agusan del Norte

Prominent among these bodies of water are the Agusan River, third largest river in the country that straddles the provinces of Compostela Valley in Region 11, Agusan del Sur, and Agusan del Norte and Butuan City in Caraga Region; the Agusan Marsh which serves as the catchment basins of water from upstream before it slowly flows downstream and finally to Butuan Bay; Lake Mainit, the fourth largest lake in the country that straddles the provinces of Agusan del Norte and Surigao del Norte; and Tago River which traverses several municipalities in Surigao del Sur.

Apparently, the major bodies of water in the region are in varying levels of degradation. Some are even in quite alarming levels and with negative consequences to other vulnerable ecosystems. A bigger portion of the surrounding mountain ranges had been heavily denuded with only patches of remaining primary forest showing. The denudation of watershed areas has instigated exceedance of surface run-off and soil erosion which aggravated the frequent flooding and continues scouring of river banks along the major river systems and lake. In the absence of environmental-friendly solid waste management facilities, the rivers and lakes have been utilized as dumping sites for agricultural, industrial and domestic wastes.

The dismal state of the region’s water resources can be associated to the lack of management framework to address the conflicting uses, weak coordinative mechanism and overlapping of responsibilities between and among mandated agencies and lack of stakeholders’ appreciation on the linkages in the ecosystem management and utilization, and water pricing.

Deteriorating quality and quantity of water resources Mining operations are widespread anywhere and some do not follow sound environmental management. Specifically, the DENR’s draft Agusan River Basin Master Plan indicated that an estimated 300,000 tons of mine tailings are discharged annually into the Agusan River through the Naboc River. Unregulated mining operations in Mount Diwata allegedly use mercury, cyanide, and explosives.

Consequently, results of the water quality monitoring activities conducted by the RDC’s Agusan River Basin Task Force in Agusan River and Butuan Bay show heavy metal contamination in sediments and in some

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Gold Panning along the Agusan River, Las Nieves, Agusan del Sur

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species of fish and high counts of total and fecal coli forms. These could have serious effects on the environment and the population living along the river. In 2009, DOH Caraga recorded a total of 8,011 cases of diarrhea for 0-50 month old children and 1,705 cases of schistosomiasis region-wide.

On the other hand, irrigation systems deteriorated rapidly due to heavy siltation in facilities and lack of budget for operation and maintenance. Ironically, despite the vaunted number of water resources, local water districts are having problems on the lack of water to supply its service areas.

Very low priority given to sanitation and sewerage The sea, lakes, rivers and creeks have been used as dumping sites for domestic and industrial wastes. As of 2010, no single treatment and sewerage facility has been built in the region which could be highly attributed to the high acquisition cost of said facilities.

Absence or lack of data on the availability of water supply One of the problem confronting water resource management is the absence or lack of data on the true level of water supply and utilization since the available data are fragmented, incomplete and in some cases, conflicting.

F. Mining Harmonizing mining development with the region’s carrying capacity Caraga Region plays a crucial role in the revitalization of the mining industry in the country. In fact, it is foreseen as the next mining capital of the country.

The declaration of the Supreme Court on the constitutionality of Republic Act No. 7942 otherwise known as the Philippine Mining Act of 1995 has triggered the rapid growth of mining activities in the region.

Based on the data from Mines and Geosciences Bureau (MGB) as of June 2009, the region’s mining areas has already spread to 118,268.96 hectares, which represents 6.18 percent of the region’s total land area. Significant expansion of mining areas is expected to happen in the next few years, as Mining Area, Carrascal, Surigao del Sur government is very aggressive in its revitalization efforts. As of June 2009, the MGB processed 128 applications for mining exploration covering a total area of 619,254.49 hectares, 64 Mineral Production Sharing Agreement (MPSA) applications covering a total area of 406,333.41 hectares, and three Financial and Technical Assistance Agreement (FTAA) covering a total area of 13,010 hectares.

All of the under processed applications represent more than half of the region’s total land area or 54.27 percent.

Gold, silver, nickel, copper, chromite, limestone, silica and precious metals, base metals, and nonmetallic minerals are some of the minerals found in the region. While mining may be a lucrative industry, there is a need to closely examine the region’s carrying capacity for mining development.

Both small and large-scale mining are the major sources of environmental problems with its extensive vegetation clearing, earth moving, and effluent generation.

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Philsaga Mining Area, Agusan del Sur

Mining of the abovementioned minerals can threaten the integrity of the region’s diverse ecosystems since this involve open-pit mining methods where forests are destroyed and unearthed to get to the minerals beneath. Consequently, the indiscriminate clearing of the forests leads to loss of biodiversity. Despite measures being implemented, there is the danger of leaking of mine wastes and tailings that could result in more serious threats to the environment.

Moreover, large withdrawals of soils in mining areas threaten the condition of the aquifer.

II. STRATEGIC FRAMEWORK The region’s development framework for natural resource conservation shall be anchored on the principles of sustainable development that give emphasis on the harmonious integration of a sound and viable economy, responsible governance, social cohesion and harmony, and ecological integrity. This would mean recognizing the significant roles of key actors of governance such as the government, business, and civil society.

In particular, this development framework highlights the interactions among various factors affecting resource conservation such as the current trends of globalization and localization, and the interrelationships of three key dimensions of environmental resource use, namely: environmental or bio-physical aspects of resource use; economic dimensions notably the dynamics of demand for and supply of resources; and the institutional, political, social, and cultural factors. This framework underscores the interconnection and complementation of initiatives between and among the abovementioned factors. Central of these interactions are resource conservation efforts that, by determining how services are used, will propel economic, political, social, cultural, and institutional factors towards conservation and enhancement of the environment and natural resources of the region.

As could be gleaned from the assessment and challenges of this sector, the following measures should be undertaken for the maintenance and sustainability of: air, land, hazard, agriculture, forestry, watershed/ biodiversity areas, coastal and marine, water resource and mining.

a) Environment/air quality Objective Maintained good air quality/environment Target To have an acceptable air quality in Caraga Key Strategies and Policies 1. Strengthen the monitoring and enforcement of compliance to Clean Air Act. Maintaining good air quality requires full implementation and adherence to Republic Act 8749 otherwise known as the Philippine Clean Air Act of 1999. There is a need to strengthen existing mechanisms which include, among others, the proper delegation and effective coordination of functions and activities,

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2.

3.

encourage cooperation and proactive participation of local stakeholders in the enforcement of the law, and intensify public information and education campaign, and enforcement of a system of accountability for short and long-term adverse environmental impact of development activities.

Promote greening program in urban and sub-urban areas. This involves planting of trees within the urban areas in support to the clean and green program of the government. This strategy calls for the participation of both the government and private institutions. In particular, the LGUs shall allocate areas for the establishment of urban parks, mini-forest and roadside planting projects. Said projects shall be integrated in their respective Comprehensive Land Use Plans (CLUPs).

Strengthen the implementation of anti-belching program at the local level. This entails strengthening the accreditation process for private entities involved in monitoring and testing of emissions from mobile and/or stationary sources of air pollutions.

Programs, Projects, and Activities 1. Establishment of Air Airshed Management 2. Installation of Air Quality Monitoring Stations 3. Establishment of Tree Parks 4. Conduct of Roadside Tree Planting Activities 5. Implementation of Anti-belching Program b)

Land/natural resources

Objective Balanced allocation and development of the region’s natural resources Targets 1. To reduce conflicting land use and tenurial claims 2. To delineate production and protection areas Key Strategies and Policies 1. Determine the carrying capacity of the region as basis for strategic policy decisions on the use of its natural resources. This strategy upholds sustainable utilization and management of natural resources taking into consideration the increasing demand and the region’s ecological capacity to regenerate. While there is full recognition that the region’s natural resources, particularly the extraction of minerals and forest resources, can significantly contribute to its long-term development, integrity of the different ecosystems and environment in general should be ensured. Along this line, coordination between the LGUs and the national government agencies should be strengthened to ensure horizontal and vertical integrations and consistency of development efforts for sustainable development. Likewise, the LGUs should review, harmonize, and strengthen the implementation and enforcement of compliance to their respective land use plans.

2. Harmonize the implementation of existing policies, rules, and regulations and processes of government agencies on the granting of land titles and other tenurial instruments.

The government shall pursue a harmonious and synchronized implementation of laws, policies and government processes such as in case of granting land titles and other tenurial instruments issued by various government agencies not limited to DENR, DAR, and NCIP. National and local government institutions should strengthen coordinative mechanisms to minimize or reduce possible conflict and overlapping of tenurial rights/claims.

3. Review and strengthen the implementation of Republic Act No. 8371, otherwise known as the Indigenous Peoples Rights Act of 1997. This involves the conduct of policy assessment on the implementation of the IPRA Law to address the multi-dimensional and wide-range of issues and concerns confronting it for the greater benefits of the indigenous communities, ensure the preservation of their culture and habitats and reduce land conflicts.

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4. Upgrade and strengthen statistical information generation and dissemination system of government for better planning and decision-making. The availability and accessibility of reliable and accurate information/data plays a crucial role in development. Government institutions shall boost its statistical capability by upgrading and strengthening their database and information system and sharing mechanism for effective planning and decision-making.

Program, Projects, and Activities 1. Conduct of harmonization of the region’s land uses and tenurial claims 2. Updating of physical/land use plans of the provinces, cities, and municipalities 3. Formulation of forest land use plans of the provinces, cities and municipalities 4. Formulation of the Ancestral Domain Sustainable Development and Protection Plans (ADSDPPs) 5. Delineation of CADCs/CADTs 6. Conduct of researches and policy review and studies 7. Lobby for the passage of the NaLUA 8. Institutionalization of the Regional GIS Network 9. Improvement of forestry information system c) Hazard Objective Reduced vulnerability of Caraga to natural calamities Targets 1. To reduce damage to properties and number of casualties 2. To establish DRRMO in all provinces, cities, and municipalities 3. DRR-CCA enhance PDPFP formulated in all provinces Key Strategies and Policies 1. Mainstream Disaster Risk Reduction (DRR) and Climate Change Adaptation (CCA) in the regional and local development planning and decision-making processes. This involves collaborative efforts among the planning and hazard agencies for the integration of DRR/CCA concerns, principles, strategies, and development priorities in the regional and local development and land use/physical plans. Along this line, existing planning guidelines shall be enhanced by integrating the disaster risk assessment mechanism. Likewise, capability building activities shall be conducted to capacitate the LGUs in disaster risk assessment.

2. Institutionalize Local Disaster Risks Reduction and Management Office (LDRRMO). The government shall push for the creation of the LDRRMO in the provinces, cities, municipalities, and barangays in compliance to Republic Act 10121 otherwise known as the Philippine Disaster Risk Reduction and Management Act of 2010. The LDRRMO should be responsible for setting the direction, development, implementation, and coordination of disaster risk management programs within their respective territorial jurisdiction. Crucial to the institutionalization of the LDRRMO is the provision of personnel and funds for its operationalization.

3. Build and strengthen the coping mechanism of the affected communities particularly the vulnerable groups and the poor. Increasing the coping mechanism of the vulnerable groups and the poor, through improving family income, increasing public awareness on disaster preparedness, and institutionalizing safety nets program would reduce their vulnerability towards various types of risks brought by human and natural calamities.

4. Strengthen monitoring and enforcement of compliance to land use plans, environmental laws and local ordinances at all levels of governance. Land use plans are developed to provide policy guidelines for rational distribution, development and utilization of physical resources. The institutionalization of these land use plans is demonstrated through the zoning ordinance passed by the LGUs. On the other hand, environmental laws such as the EIS, NIPAS, Local Environmental Code, etc. are implemented to ensure sustainability of natural resources and environmental integrity.

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Vital to the institutionalization of disaster risk reduction efforts are the need to strengthen the regulatory functions of mandated government institutions through evolvement from regulatory mode of operations to developmental viewpoint; setting up of geographic information system as a tool for effective planning, investment programming, and monitoring; and strengthen the monitoring and evaluation system of the LGUs on land utilization and management.

Programs, Projects, and Activities 1. Formulation of DRR/CCA-Enhanced Provincial Development and Physical Plans (PDPFPs) and Comprehensive Land Use Plans (CLUPs) of the Municipalities 2. Conduct of Vulnerability Assessment Hazard Mapping 3. Operationalization of Rapid Emergency Disaster Assessment System (REDAS) at the local level 4. Creation of Local Disaster Risk Reduction and Management Councils/Offices 5. Implementation of Sustainable Livelihood Programs 6. Establishment of Financial Safety Nets and Insurances 7. Enhancement of Local Monitoring and Evaluation System 8. Conduct of Public Awareness Program on Disaster Preparedness d) Forestry Objective Improved productivity of forestlands Targets 1. To increase significantly the forest cover 2. To have zero incidence of illegal logging activities 3. To increase log production Key Strategies and Policies 1. Enhance forest cover and productivity. Efforts to maintain and increase forest cover and forest productivity shall be undertaken through ecologically, economically and socially sound ways such as forest rehabilitation/reforestation, afforestation, management of existing forest resources and other measures.

2. Building Partnerships and Alliances in Forest Management. This involves granting of appropriate tenurial instruments to qualified applicants/partners such as peoples organizations, private corporations, and LGUs for untenured forestlands. Along this line, the government shall build strong partnership with non-government organization in mobilizing and capacitating peoples’ organization undertaking community–based forest management. It shall also capacitate the LGUs to undertake co-management of the forestlands.

3. Institutionalize and strengthen LGU/community-based monitoring. This strategy underscores the importance of community participation in forestlands management and conservation. Engaging the community in monitoring activities would increase accountability and quality of services which would ultimately contribute to sustainability of forest resources. This will enable the community and institutions to collaborate in monitoring, tracking, and responding to environment-related issues and concerns. Along this line, there is a need to strengthen existing feedback mechanism to ensure that issues and concerns are conveyed and addressed by concerned agencies and institutions.

4. Enhance forest protection force ratio. This strategy emphasizes the improvement of the ratio of forest guard to number of hectares covered by increasing the existing number of forest guards responsible for protecting the forest. In view of this, there is a need to strengthen collaboration on the enforcement of forest laws and pooling of resources between and among key players such as DENR, LGUs, logging license holders, and community to augment the present number of forest rangers.

5. Expand dipterocarp areas both for ecological and commercial purposes and improve yield of industrial tree plantation and wood quality. This involves enhancement of forest stocks with the use of dipterocarp species of trees and improvement of ITP species and tree domestication.

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6. Review and harmonize government policies on forestry development. This approach aims at harmonizing existing government policies concerning forestry development and management to eliminate possible conflict and overlapping in the implementation process and identify innovations for sustainable forest management.

7. Strengthen the institutionalization of wood industry cluster. This requires creating a proactive partnership among the major industry players, support industries and government institutions and adoption of investment friendly policies, strategies, and appropriate technologies to optimize product quality and productivity of forestland.

8. Address problem on insurgency. This requires an in-depth and comprehensive assessment on the root causes of insurgency, institutionalization of a genuine, functional and multi-stakeholder approach and convergence of development efforts to address them.

Programs, Projects, and Activities 1. Establishment of Community-based and Multi-stakeholder Monitoring Team 2. Deputization of Forest Guards 3. Establishment of Clonal Nursery for Dipterocarp Species 4. Improvement of ITP Tree species and Domestication 5. Conduct of Comprehensive Review of Laws and Policies pertaining to Forestry Development 6. Reactivation of the Wood Industry Cluster 7. Establishment of Standard Local Pricing System for Forest Products 8. Establishment of Wood-based Processing Plants 9. National Greening Program 10. Operationalization of Shannelyne Technological and Environmental Park 11. Establishment of Plantation Development in Logged-Over Areas 12. Implementation of Anti-Insurgency Program e) Watersheds Objective Restored state of the region’s critical watersheds and key biodiversity areas Targets 1.

2.

3.

4.

To increase significantly the forest cover To establish watershed areas and declare these areas per municipality To increase number of proclaimed watershed and protected areas To identify key biodiversity areas proclaimed as protected areas

Key Strategies and Policies 1. Adopt an integrated package intervention in addressing the underlying causes of deforestation. This strategy requires holistic examination of forestry issues and concerns within the context of environment and development taking into consideration the multiple functions and uses of the forest ecosystem. Specifically, the government shall address local issues and concerns that stem from the lack of alternative options available to communities who are economically and socially dependent on forests and forest resources. Consequently, addressing these issues and concerns entail institutionalization of convergence approach and genuine implementation of multidimensional and cross-cutting measures and mechanism.

2. Provide a minimum area of forestlands. The government, through the LGUs, shall push for the implementation of local forest land use plans to safeguard the climate-and-water characteristics and protect the integrity of the forest ecosystem. Relatedly, there is an urgent need to lobby with Congress to pass the bill establishing the permanent forests.

3. Expand and improve knowledge on characteristics, uses and values of biodiversity. The government shall embark on scientific researches and biodiversity inventory and assessments to be carried out by the mandated government agencies, academe and private institutions through

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4.

5.

6.

7.

8.

9.

effective modalities including international cooperation. Relatedly, the government shall push for the establishment of a functional and accessible data/information banking system and communitybased public awareness program to increase the stakeholders’ awareness on the importance of biodiversity conservation.

Mainstream and institutionalize actions to conserve biodiversity in local development plans and policies. This strategy calls for the integration of biodiversity concerns in the local development and land use plans of provinces, cities, and municipalities. The passage of corresponding legislative measures and mechanisms both at the local and national level is very significant to ensure the enforcement and compliance to the land use plans from the provincial down to the barangay level.

Ensure stakeholders’ participation and build their capacity for biodiversity conservation and sustainable management of the forests and its resources. This involves advancing the level of awareness and capacity of the community and institutions on biodiversity conservation and management of the forest ecosystem across all levels of governance to attain a higher batting average of success.

Strengthen research and development and database to enhance planning and decisionmaking. This requires strong collaboration of concerned agencies, research institutions, and the academe to undertake relevant research studies on biodiversity, socio-cultural, economic. Likewise, development or strengthening of geospatial databases will be necessary for effective planning decision-making.

Strengthen monitoring and enforcement of compliance to environmental rules and regulations at all levels of governance. This involves review, assessment, and enhancement of existing mechanisms to ensure effective implementation and adherence to environmental-related laws, rules, and regulations and local ordinances. Correlated to this undertaking is the institutionalization of a participatory and multi-stakeholder approach monitoring and evaluation system supported with a well-developed biodiversity database system.

Address population, health, education, poverty and other issues linked to biodiversity conservation for human welfare. This approach embraces concerted efforts from the regional down to the community level that slows down population growth within the KBAs and provides alternative and sustainable livelihoods to improve their quality of life and thereby reduce pressure on biodiversity and habitats.

Institutionalize a coordinated and functional information, education, and communication system for biodiversity conservation. This involves implementation of effective and functional information and education campaign program at the community level. Adequate information would enable the creation of a caring society, involved and participative in all undertakings concerning conservation.

Programs, Projects, and Activities 1. Establishment of Plantation Development in Logged-over Areas 2. Conduct of Region-wide Inventory and Mapping of the Proposed and Proclaimed Watershed Areas 3. Implementation of Agro-forestry Projects 4. Establishment of Watershed Areas in all Municipalities 5. Rehabilitation of Critical Watershed and Key Biodiversity Areas 6. Conduct of Community-based Tree Planting Activities 7. Conduct of Comprehensive Review of Existing Tenurial Instruments/permits Issued by the DENR and its Line Bureaus 8. Conduct of Studies Pertaining to Indigenous Knowledge, Techniques and Practices on Biodiversity Conservation and Sustainable Development 9. Implementation of IEC Program on Watershed and Biodiversity Conservation 10. Establishment of a Database System on Biodiversity 11. Lobby for the Passage of a Law Creating the EMBC Conservation Council 12. Implementation of the EMBC Conservation Framework 13. Rehabilitation of Damaged Critical Habitats 14. Formulation of Eco-tourism Plan

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15.

16.

17.

18.

Establishment of Wildlife Rescue and Refuge Centers Creation of Inter-Regional and Local Monitoring Bodies for Biodiversity Monitoring Conduct of Training on Community Organization and Biodiversity Conservation for Local Stakeholders Implementation of Alternative Sustainable Livelihood Activities for Bio-Resources Dependent Communities

g) Coastal and Marine Resources Objective Improved state of coastal and marine resources Targets 1. To increase fish production 2. To have zero incidence of illegal fishing activities 3. To increase mangrove forest cover Key Strategies and Policies 1. Promote and adopt ecosystem approach in the management of coastal and marine areas/ resources. This strategy underscores the integrated management of coastal and marine resources to achieve a balance between conservation, sustainable use and equitable sharing of benefits derived from the utilization of the coastal/marine resources. This approach recognizes cultural and biological diversity, the importance of decentralization of management to the community level, inclusion of adjacent watershed in the delineation of marine reserves and coastal areas.

2. Advocate for the establishment of marine protected areas. This strategy requires an workable mechanism to compel the LGUs allocate portion of its municipal waters as marine protected areas (MPAs) and network of MPAs. The establishment of MPAs or network of MPAs is a critical strategy for maintaining resource productivity, enhancing resiliency, and ensuring protection of marine and coastal habitats.

3. Institutionalize and strengthen local alliances. This involves establishment of areas of cooperation and coordination in the management of contiguous fishery resources such as bays that straddled several municipalities, cities and provinces to achieve the objectives of integrated fishery resource management. In particular, marine protected areas and management issues extend across political boundaries and require transboundary resource planning and management.

4. Increase investment for restoring and enhancing coastal and marine resources. This requires review and assessment of existing policies and look for innovative means of generating more investment support from various stakeholders for the development, management and conservation of coastal and marine resources.

5. Enhance local capacities in the monitoring and enforcement of laws and policies pertaining to the management and utilization of coastal and marine resources. This involves strengthening collaborative efforts between and among stakeholders such as LGUs, private and community organizations in coastal monitoring, control and surveillance system to ensure that the fisheries and aquatic resources in their areas of jurisdiction are judiciously and wisely utilized and managed on a sustainable basis and conserved for the benefit and enjoyment exclusively of Filipino citizens. Specifically, there is a need to strengthen local Fishery and Aquatic Resources Management Councils (FARMCs) particularly in the enforcement of fishery laws, rules and regulations municipal waters.

6. Revert and rehabilitate idle and unproductive fishpond. Abandoned, idle, and potentially productive fishponds should be rehabilitated and leased for the propagation of mangroves, nipa, and other wetland species

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7. Empower local communities. This includes increasing the community’s level of awareness on coastal resources management and provision of support primarily to the municipal fisherfolk, including women and youth sectors, through appropriate technology and research, adequate financial, production, construction of post-harvest facilities, marketing assistance, and other services.

8. Prohibit dumping of wastes in the region’s seas. This requires genuine and religious enforcement of pertinent laws and policies on waste management and disposal.

Programs, Projects, and Activities 1. Conduct of Studies on the Carrying Capacity of Coastal Areas 2. Formulation of Integrated Coastal Resources Management Plans and Programs 3. Establishment of Marine Sanctuaries in every Municipality 4. Establishment of Inter-Municipal Alliances and Reactivation of Exiting Local Alliances 5. Rehabilitation of Priority Coastal Areas 6. Provision of Accessible Credit Facilities for Fisherfolks 7. Establishment of Processing Plants 8. Establishment of Multi-Species Hatchery in the Provinces 9. Organization of Community-Based and Multi-Sectoral Bantay Dagat 10. Conduct of Public Awareness Program on Coastal and Marine Resources Conservation 11. Implementation of Sustainable Livelihoods for Fisherfolks 12. Establishment/Rehabilitation of Mangrove Areas

h) Water Resources Objective Restored quality and quantity of water resources Targets 1.

2.

3.

4.

5.

To have sufficient quantity and of acceptable quality is available to all stakeholders To optimize use of water resources To reduce soil erosion along river banks To reduce flooding along major river system To diminish pollutants in major bodies of water

Key Strategies and Policies 1. Advocate for the institutionalization of Integrated Water Resources Management Approach. Raising the level of awareness on IWRM approach is vital to generating active support at all levels of governance in water resources conservation. Institutionalizing the IWRM approach in water resources management embraces also the application of knowledge and insights from various disciplines in order to devise and implement efficient, equitable and sustainable solutions to the various issues and concerns confronting water resources; and manage and develop water resources in a way that balances social and economic needs and ensures the protection of ecosystems for future generations.

2. Harmonize land uses to prevent degradation, erosion, and siltation of major bodies of water. This approach highlights the need to assess and review national and local development priorities in terms of its appropriateness to the area. In line with this, the LGUs need to review and assess, update and strengthen the enforcement of their respective local physical/land use plans.

3. Strengthen the implementation of ecological waste management system at the local level.

This involves execution of workable strategies to effectively enforce pertinent laws on solid waste and wastewater management i.e. Republic Act Republic Act no. 9003, otherwise known as the Ecological Wastes Management Act of 2000.

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4. Pursue Public-Private Sector/Build-Operate-Transfer for financing treatment and sewerage facilities. The LGUs may employ Public-Private Sector Partnership (PPP) and Build-Operate-Transfer (BOT) financing options/schemes for the establishment of treatment and sewerage facilities in their respective area of jurisdiction.

Programs, Projects, and Activities 1. Formulation of the Integrated River Basin Management Plans of Major Bodies in the Region 2. Implementation of the Agusan River Basin Project 3. Establishment of Lake/River Basin Organizations 4. Conduct of Studies on Carrying Capacity and Economic Valuation of the Region’s Major Bodies of Water 5. Establishment of Flood Control Projects 6. Conduct Tree Planting Activities Along River Banks and Lakeshore 7. Implementation of SALT for Agricultural Areas Along Major River System 8. Establishment of Sanitary Landfill Projects 9. Establishment of Water Treatment and Sewerage Facilities 10. Conduct of Water Quality Monitoring Activities 11. Establishment/Improvement of the Laboratories and Facilities of Mandated Agencies

i)

Mining

Objective Reduced environmental impacts of mining development Targets 1. To lessen threats to environment 2. To reach zero illegal small scale mining activities 3. To organize legal small scale mining activities Key Strategies and Policies 1. Enhance the capacity to manage environmental disturbance brought by mining development. Ecological integrity of areas affected by mining operations shall be of paramount consideration in every stage of mining operations. Specifically, mining operations shall be pursued within the framework of multiple land use and sustainable utilization of mineralized areas; adoption of efficient and environment-friendly technologies to ensure judicious extraction and optimum utilization of non-renewable mineral resources; pursue mitigation and progressive rehabilitation measures to protect public welfare, safety and environmental sustainability; and institutionalizing continuous and meaningful consultation process between the industry and all other stakeholders to ensure resolution of issues and concerns pertaining to mining operations.

2. Rationalize the granting of mining permits vis-à-vis the region’s carrying capacity. Granting of mining permits to appropriate individuals and corporations shall take into consideration the appropriateness of the areas to be mined vis-à-vis its present status/use, significant impacts to other regional development priorities and capacity of the individual/corporation to undertake mining operations.

3. Pursue the implementation of value adding activities of mineral products for host mining communities. To achieve greater productivity and efficiency in mining industry, the region needs to engage more in value-adding activities to optimize benefits from minerals through the development of downstream industries. The region needs to shift from merely a supplier of raw mineral ores to engaging in local manufacturing of mineral products. Along this line, there is a need for establishing financing/credit facilities and capability building activities for the host mining communities.

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4. Encourage the establishment of mineral economic zones in areas where small scale mining activities are rampant. The government, particularly the LGUs, shall identify appropriate areas to locate mineral processing plants particularly for small scale mining operations; establish the mechanism for the integration, coordination, planning and monitoring of the mineral economic zones; promote the inflow of investments, both foreign and local, into the mineral economic zones; and advocate for the adoption of environment-friendly technologies to ensure public safety and ecological integrity.

5. Intensify the enforcement of pertinent laws on solid waste and wastewater management.

This means strengthening the enforcement of existing laws and policies pertaining to solid waste and wastewater management. In particular, there is a need to improve the capability of mandated agencies in the execution of the pertinent laws and policies, such as but not limited to, skills enhancement, upgrading of facilities and strengthening linkages and partnership with stakeholders.

6. Enhance public awareness and respect for the rights of communities. This includes improving public accessibility to mining-related information and implementation of effective and functional information, education and communication campaign about the mining industry.

Programs, Projects, and Activities 1. Full implementation of the environmental provisions stipulated in RA 7942, otherwise known as the Philippine Mining Act of 1995 2. Conduct of a region-wide assessment and inventory of mining operation in the Region 3. Formulation of Regional Mineral Development Framework and Policy Agenda 4. Organization of Independent Regional Multipartite Monitoring Team 5. Formulation of Standard Guidelines in the Preparation of Environmental and Rehabilitation Plan 6. Formulation of Standard Guidelines in the Preparation of Mining Occupational Safety and Health Program 7. Formulation of the Standard Guidelines in the Preparation of Mining’s Social Development Program 8. Formulation of Mining Companies’ Decommissioning and Rehabilitation Plans 9. Improvement/Upgrading of MGB Laboratory and Facilities 10. Conduct of Intensive Public Awareness Program on Mining Development 11. Development of Solid Waste Management Sites 12. Conduct of Harmonization Workshop vis-à -vis Other Development Priorities of the Region 13. Establishment of Mineral Processing Plants for both Large and Small Scale Mining 14. Provision of Alternative Livelihood for Communities Dependents in Mining 15. Conduct of Capability Building Activities on Value Adding Activities for Small Scale Mining Operators 16. Federation of Small Scale Mining Operators 17. Lobby for the Passage of Local Ordinances Creating the Mineral Economic Zones

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Acknowledgment The National Economic and Development Authority (NEDA) – Caraga Region as the secretariat of the Caraga Regional Development Council acknowledges the precious time and important inputs of regional directors and their technical staff during the consultations and in sending back the draft chapters to the secretariat. The formulation of the Regional Development Plan 2011-2016 was not possible without the strong partnership of all stakeholders, to wit: RDC Member LCEs

RDC Member Agencies BLGF CICT CHED DA DAR

DENR DepEd DFA DILG DOE

DOLE DOST DOT DOTC DPWH

Provincial Government Units Agusan del Norte Surigao del Norte Province of Dinagat Islands

DTI TESDA DBM DOH DSWD PMS

Private Sector Representatives Engr. Leonel A. Santos, Regional Rep. Mr. Gregorio P. Hontiveros, Regional Rep. Mr. Marlon C. Advincula, Bislig City Mr. Alfredo L. Baluyut, Jr., Butuan City Mr. Romeo C. Dahuyag, Cabadbaran City Dr. Bernardo T. Mora, Surigao City Ms. Carolina B. Tidalgo, Tandag City Mr. James Satorre, Agusan del Norte Mr. Rex T. Linao, Agusan del Sur Mr. Greggo B. Uriarte, Surigao del Norte Mr. Vidal M. Luna, Surigao del Sur Mr. Ricky C. Neñiza,Province of Dinagat Is.

City Mayors Bayugan City Bislig City Butuan City

Agusan del Sur Surigao del Sur

Cabadbaran City Surigao City Tandag City

Presidents, Provincial Leagues of Municipalities Agusan del Norte Agusan del Sur Surigao del Norte Surigao del Sur Province of Dinagat Islands Mayors of Capital Towns Prosperidad, Agusan del Sur San Jose, Province of Dinagat Islands RDC Non-Voting Members AFP (401st and 402nd Brigades and 4 ID) CHR NCIP PNP DBP PIA POPCOM LandBank Quedancor OCD

The active participation of the technical staff of member agencies of to the RDC Sectoral Committees are also acknowledged: Social Development Committee Butuan City LGU Bislig City LGU Surigao City LGU Tandag City LGU Cabadbaran City LGU Bayugan City LGU Agusan del Norte LGU Agusan del Sur LGU Surigao del Norte LGU Surigao del Sur LGU Prov. of Dinagat Islands RDC PSRs

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NHA NNC OMA PHIC TESDA DepEd DoH POPCOM DSWD HLURB DOLE NCIP

Economic Development Committee CHR GSIS HDMF SSS DILG PIA CHED SUCs and academe NYC NAPC Sectoral Reps.

Chapter 1 | Caraga Regional Development Plan, 2011-2016

Butuan City LGU Bislig City LGU Surigao City LGU Tandag City LGU Cabadbaran City LGU Bayugan City LGU Agusan del Norte LGU Agusan del Sur LGU Surigao del Norte LGU Surigao del Sur LGU Prov. of Dinagat Islands RDC PSRs

DA ATI BAS BFAR BSWMSWAT FIDA PFA LBP Quedancor Local Chambers

CDA DA DENR DOLE DOST DOT NFA DBP RTWPB PhilRice

NMIS RAFC PCIC PCA DTI EMB MGB DAR NIA

Infrastructure Development Committee Butuan City LGU Bislig City LGU Surigao City LGU Tandag City LGU Cabadbaran City LGU Bayugan City LGU Agusan del Norte LGU Agusan del Sur LGU Surigao del Norte LGU Surigao del Sur LGU Prov. of Dinagat Islands RDC PSRs TelOf PPA – Surigao City CAAP– Surigao City

Water utilities DOTC DPWH DA EMB DENR NIA NAPOCOR-MRC NGCP NTC PICE Power utilities PPA – Nasipit CAAP – Bancasi

Development Administration Committee Butuan City LGU OCD Bislig City LGU SSS Surigao City LGU DOLE Tandag City LGU NICA Cabadbaran City LGU POPCOM Bayugan City LGU Bureau of Broadcast Agusan del Norte LGU NAPOLCOM Agusan del Sur LGU COMELEC Surigao del Norte LGU OWWA Surigao del Sur LGU RTWPB Prov. of Dinagat Islands NCMB RDC PSRs AFP (401st & 402nd Brigades) BIR CSC BSP BFP RSPO DTI(BOI) DILG BLGF COA CHR NLRC BoT GSIS LRA PIA DBM NSO NBI PNP BJMP BoC Parole and Probation Administration Public Attorney’s Office

NEDA Caraga would like to acknowledge likewise the valuable inputs of other development partners like the Gesellschaft fur Internationale Zusammenarbeit (GIZ), Agencia Española Cooperacion Internacional Y Desarollo (AECID), Caraga Conference for Peace and Development (CCPD), Act for Peace (A4P) Program, Surigao Economic Development Foundation (SEDF), Mr. Ollie Binancilan of OPAPP who extensively provided the conflict analysis for Chapter 8.

In close coordination with various partners, the chapters were drafted and finalized with the concerted efforts of all NEDA staff with Regional Director Carmencita S. Cochingco and Assistant Regional Directors Cecilia R. Lopez and Bonifacio G. Uy as lead. The completion of the 9 chapters was reinforced by Mr. Johnny T. Lim, Mr. Francisco Romulus C. Villanueva, and Mr. Emmanuel Z. Gidacan.

The sectoral/subsectoral writers for each chapter on the other hand are as follows: Chapter 1,3 & 4 – Mr. Emmanuel z. Gidacan, Chapter 2 – Mr. Arven John B. Lumag, Chapter 5 - Mr. Francisco Romulus C. Villanueva, Mr. Paris Raymond S. Gaballo, Chapter 6 – Ms. Gemima A. Olam, Ms. Esther A. Oser, Ms. Ann B. Jaquilmac, Mr. Hector G. Quilang, Chapter 7 – Mr. Johnny T. Lim, Ms. Fides Joy A. Caduyac, Ms. Elvie C. Ato, Mr. Ian G. Miculob, Chapter 8 – Ms. Jazmin D. Berido, Chapter 9 – Ms. Graziella C. Harting.

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